Suppose We Have Two Binomial Populations Where the True Proportion

question 60

Multiple Choice

Suppose we have two binomial populations where the true proportion of success is .2 for the first population and .3 for the second population.We take an SRS of size 4 from the first population,and the number of successes is 3.We take an SRS of size 400 from the second population,and the number of successes is 200.Why should be closer to .3?

• A)Because the sample size is large
• B)Because of nonresponse bias
• C)Because .3 is close to .5
• D)None of the above

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Definitions:

Marginal Revenue

The additional income received from selling one more unit of a good or service.

Optimal Employment

The level of employment where the economy is at its most efficient, producing the maximum output without causing inflationary pressures.

Marginal Revenue

The additional income generated from selling one more unit of a good or service.

Marginal Product

The additional output resulting from the use of one more unit of a variable input, holding other inputs constant.