Because an Unreliable Measure Makes It Difficult to Find a True

question 14

Multiple Choice

Because an unreliable measure makes it difficult to find a true effect, researchers generally will try to make sure that their measures have an alpha of not less than

• A) .95
• B) .90
• C) .70
• D) .65

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Definitions:

Marginal Revenue

Marginal Revenue is the additional income received from selling one more unit of a product.

Marginal Decision Rule

A principle that states that an action should be taken if, and only if, the marginal benefits exceed the marginal costs.

MC > MR

A condition where a firm's marginal cost is greater than its marginal revenue, suggesting that it would not be profitable to increase output further.

Monopolistic Competition

A market structure where many companies sell products that are similar but not identical, leading to competition based on price, quality, and marketing.