Suppose you are testing the statistical significance (at the 1% significance level) of a parameter estimate from the regression model: M = a + bR + cIwhich is estimated using a cross-section data set on 22 firms. The critical value of the appropriate test statistic is

The IS curve has a positive slope because a(n) __________ in the interest rate leads to a(n) __________ in desired investment and this leads to an increase in GDP

A) increase; increase B) increase; decrease C) decrease; increase D) decrease; decrease

Direct transfer programs

a. are generally less efficient and less politically acceptable than subsidy programs b. are generally more efficient and more politically acceptable than subsidy programs c. are generally less efficient but more politically acceptable than subsidy programs d. are generally more efficient but less politically acceptable than subsidy programs e. will generally result in increased production by the group being subsidized