Answer:
The correct answer is (c)
Explanation:
Monetary economists believe that Federal Reserve controls the economic output. The policy Federal Reserve Bank applies determines the economic situation of a country. The Federal Reserve is liable to apply the monetary policy, and that monetary policy moves the country's output. If money supply increases in the economy it can lead to inflation and lower interest rate.
Answer: b. storming
Explanation:
The Storming stage of group development is the stage where the roles of individuals become clearer in the group. They will start to see and understand how each team member works to meet targets and this is where conflict usually begins because team members might find their methods superior to the other.
This can then lead to heighten emotional levels and intragroup conflict making this the stage where most groups are most likely to fail.
Answer:
have a lower claim on assets than simple debentures
Explanation:
<em>Subordinated debenture have a lower claim on asset than simple debentures.</em>
They are a form of debt or loan without any security and occupy the bottom in the scale of debt repayment.
Subordinated debentures represent an investment with higher risk due to lack of security or backing collateral, but as expected, they come with higher returns when compared to their unsubordinated counterparts.
Answer:
d. It is best measured using the statistic variance inflation factor (VIF).
Explanation:
Multicollinearity is an important issue in multiple regression model, having many independent/ explanatory variables. Multicollinearity is the situation in which two or more independent variables are highly correlated. It is problematic because it increases the standard error of independent variable coefficient & undermines its statistical significance
Variance Inflation Factor [VIF] is a check & corrective measure of multicollinearity.
- VIF as a multicollinearity check : It quantifies the correlation between one explanatory variable with other explanatory variables.VIF = 1 implies there is no multicollinearity (correlation between independent variables); VIF upto 5 implies there is moderate multicollinearity (correlation between independent variables). VIF > 5 implies high multicollinearity (correlation between independent variables)
- VIF as a multicollinearity correction : Calculating
= σ^2 / ![[TSS j (1 - R^2j)]](https://tex.z-dn.net/?f=%5BTSS%20j%20%281%20-%20R%5E2j%29%5D)
; where TSS = total sum of square of variable j , σ^2 = j variance, R^2 j = R^2 from regressing all other independent variable on variable j
Answer:
Increases in the production of one good require larger and larger sacrifices of the other good
Explanation:
Option first is correct because the opportunity cost refers to the sacrifice of another commodity in order to increase the production of one commodity. For example, if a country produces two commodities that are wheat and paddy. So if the country wants to increase the production of wheat then it has to decrease the production of paddy. Thus, the magnitude of decrease of paddy is the opportunity cost of wheat. Therefore, option A is correct.
