Quantitative Methods For Economic Analysis 1 Set 4 MCQs

Q1 | The type of sampling in which each member of the population selected for the sample isreturned to the population before the next member is selected is called _________

sampling without replacement

sampling with replacement

simple random sampling

systematic sampling

Q2 | Which of the following is not a type of nonrandom sampling

cluster sampling

convenience sampling

quota sampling

purposive sampling

Q3 | ___________ is a set of elements taken from a larger population according to certainrules

sample

population

statistic

element

Q4 | Questionnaires can address events and characteristics taking place ______

in the past (retrospective questions)

in the present (current time questions)

in the future (prospective questions)

all of the above

Q5 | Which of the following terms best describes data that were originally collected at anearlier time by a different person for a different purpose

primary data

secondary data

experimental data

field notes

Q6 | Which of the following is true concerning observation method of data collection

it takes less time than self-report approaches

it costs less money than self-report approaches

it is often not possible to determine exactly why the people behave as they do

all of the above

Q7 | Correlation refers to

the causal relationship between two variables

the association between two variables

the proportion of variance that two variables share

a statistical method that can only be used with a correlational research design

Q8 | If two variables are highly correlated, what do you know

that they always go together

that high values on one variable lead to high values on the other variable

that there are no other variables responsible for the relationship

that changes in one variable are accompanied by predictable changes in the other

Q9 | A researcher finds a correlation of 0.40 between personal income and the number ofyears of college completed. Based upon this finding he can conclude that

a person who attended four years of college will have an annual income of rs. 40,000

more years of education causes higher income

personal income is a positively skewed variable

more years of education are associated with higher income

Q10 | Which of the following would not allow you to calculate a correlation?

a negative relationship between x and y

a positive relationship between x and y

a curvilinear relationship between x and y

a linear relationship between x and y

Q11 | Correlation relates the relative position of a score in one distribution to

the relative position of a score in another distribution

the mean of the z-scores from another distribution

the total variance of all scores in both distributions

the standard deviation of the z-scores for both distributions

Q12 | If a positive correlation exists between height and weight, a person with above averageheight is expected to have above average weight

true

false

insufficient information to draw a conclusion

all of the above

Q13 | Regression analysis:

measures the demand for a good

measures growth

establishes cause and effect

establishes a relationship between two variables

Q14 | In the equation of a straight line, Y = mX + c the term, m is the:

independent variable

intercept

dependent variable

slope

Q15 | In the equation of a straight line, Y = mX + c , if c is equal to zero then:

the line of best fit passes through the origin

the line of best fit cuts the x axis to the right of the y axis

does not cross the x axis

the line of best fit cuts the x axis to the left of the y axis

Q16 | In the equation of a straight line, Y = mX + c , if m is equal to −2 then:

there is a positive relationship between the two variables

there is no relationship between the two variables

there is a negative relationship between the two variables

the relationship between the two variables is perfect

Q17 | In the equation of a straight line, Y = mX + c , if m is equal to zero then when:

x increases y decreases

y increases x increases

x increases y increases

x increases y remains constant

Q18 | If the Pearson correlation co-efficient R is equal to 1 then:

there is a perfect positive relationship between the two variables

there is a positive relationship between the two variables

there is no relationship between the two variables

there is a negative relationship between the two variables

Q19 | The mathematical notation R2is for:

the co-efficient of determination

the co-efficient of variation

spearman’s co-efficient of rank correlation

pearson’s co-efficient of correlation

Q20 | If the slope of the regression line is calculated to be 2.5 and the intercept 16 then thevalue of Y when X is 4 is:

16

66.5

2.5

26

Q21 | If Spearman’s co-efficient of rank correlation is equal to one, then:

all the ‘total variation’ is ‘explained’ by the regression line

the rankings of the two variables partially agree

the rankings of the two variables is totally different

the rankings of the two variables totally agree

Q22 | The correlation coefficient is used to determine:

a specific value of the y-variable given a specific value of the x-variable

a specific value of the x-variable given a specific value of the y-variable

the strength of the relationship between the x and y variables

none of these

Q23 | If there is a very strong correlation between two variables then the correlationcoefficient must be

any value larger than 1

much smaller than 0, if the correlation is negative

much larger than 0, regardless of whether the correlation is negative or positive

none of these alternatives is correct

Q24 | In regression, the equation that describes how the response variable (y) is related to theexplanatory variable (x) is:

the correlation model

the regression model

used to compute the correlation coefficient

none of these alternatives is correct

Q25 | Regression modelling is a statistical framework for developing a mathematical equationthat describes how

one explanatory and one or more response variables are related

several explanatory and several response variables response are related

one response and one or more explanatory variables are related

all of these are correct