I a Continuity Correction Compensates for Estimating a Discrete Distribution

question 42

Multiple Choice

i. A continuity correction compensates for estimating a discrete distribution with a continuous distribution. ii. The binomial can be used to approximate the normal distribution for small sized samples.
iii. The binomial may be used to approximate the normal distribution when the probability, p, remains the same from trial to trial.

• A) (i), (ii), and (iii) are all correct statements.
• B) (i) is a correct statement but not (ii) or (iii).
• C) (i) and (iii) are correct statements but not (ii).
• D) (i) and (ii) are correct statements but not (iii).
• E) (i), (ii), and (iii) are all false statements.

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Economic Growth

An increase in the production of goods and services in an economy over a period of time, typically measured as a percentage increase in real gross domestic product (GDP).

Economic Growth

An increase in the capacity of an economy to produce goods and services, compared from one period of time to another.

Capital Scarcity

A situation where there is a limited availability of capital resources (such as funds or equipment) relative to demand, often leading to increased costs or lower growth.