Which of the Following Statements Is Not True with Regard

question 106

Multiple Choice

Which of the following statements is not true with regard to automatic stabilizers?

• A)​The most important automatic stabilizer is the tax system.
• B)​They act as shock absorbers to the economy.
• C)​They require legislative action.
• D)​Automatic stabilizers like government transfer payments change as business cycles conditions change.

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Definitions:

Points

In statistics, refers to data points on a graph or in a dataset.

Residuals

The difference between the observed values of the dependent variable and the values predicted by the model in regression analysis.

Scatterplots

Graphs in which the values of two variables are plotted along two axes, the pattern of the resulting points revealing any correlation present.

Linear Model

A mathematical approach used in statistics to model the relationship between a scalar response and one or more explanatory variables.