The general answer to the question of choosing the scale of the variables is
A) dependent on you whim.
B) to make the regression results easy to read and to interpret.
C) to ensure that the regression coefficients always lie between -1 and 1.
D) irrelevant because regardless of the scale of the variable, the regression coefficient is unaffected.
Answer: B) to make the regression results easy to read and to interpret.
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Most money in the US is created when
a. commercial banks make more loans b. commercial banks increase their liabilities c. the US Mint prints more US currency d. Investment banks increase their number of IPOs
In a closed economy, the total quantity of goods demanded equals the sum of
A) consumption spending, investment spending, and government spending. B) consumption spending, national saving, and taxes. C) consumption spending, government spending, and taxes. D) investment spending, national saving, and taxes.