An omitted variable is a variable that: A) is purposely left ...

[Pineappleeh]

An omitted variable is a variable that:
 
  A) is purposely left out as it does not aid an economic analysis.
  B) does not cause other variables in a study to change when it changes.
  C) is removed from a study as it can lead to the problem of reverse causality.
  D) has been left out, and if included, would explain why the variables considered in a study are correlated.

Question 2

The figure above shows the market for airline tickets. In early 2008 the price of jet fuel rose. This change is shown in the figure as a shift from
 
  A) D0 to D1.
  B) D1 to D0.
  C) S0 to S1.
  D) S1 to S0.

[ntsoane kedibone]

Answer to Question 1

D

Answer to Question 2

C

[Pineappleeh]

Excellent

[helenmarkerine]

Gracias!