If a Forecast Is Consistently Greater Than (Or Less Than)

question 3

True/False

If a forecast is consistently greater than (or less than) actual values, the forecast is said to be biased.

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Definitions:

Price Effect

The price effect encompasses the impact of price changes on consumer behavior, specifically how variations in price influence the demand for goods and services.

Quantity Effect

The impact on total consumption or production that results from changing the quantity of a good or service, usually in response to a price change.

Price Inelastic

Describing a situation where the demand for a good or service is relatively unaffected by changes in its price.

Ticket Sales

The process through which individuals can purchase access to events such as concerts, movies, sports events, or performances.