Survey Of Economics
Survey Of Economics
10th Edition
ISBN: 9781337111522
Author: Tucker, Irvin B.
Publisher: Cengage,
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Chapter 1, Problem 7SQP
To determine

Explain that the given situations are association or causation.

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Suppose Congress cuts spending for the military, and then unemployment rises in the Philippine defense industry. Is there causation in this situation, or are we observing an association between events?
A teacher observes that the mitterm grades of students in the class varies depending on “the number of classes that the student takes”, “the difficulty of the assignments”, and the “stress experienced by the student”. She assigns to you the task of doing a research project on this and wants you to do the following: a. Give the project a suitable title b. What is the research question? c. Clearly label the variables (dependent and independent) d. Develop three hypotheses
Statement 1 (S1): Complementarities increase the incentives for other agents to take similar actions. Statement 2 (S2): Complementarities occur when agents or sectors, their resources and capacities play respective assigned roles in a coordinated, well planned process of development. * True, True True, False False, True False, False S1: Multiple equilibria is a condition in which more than one equilibrium exists. S2: These equilibria sometimes may be ranked, in the sense that one is preferred over another, but the unaided market will not move the economy to the preferred outcome. *   True, True True, False False, True False, False
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