A low correlation coefficient implies that A) the line always ...

[magmichele12]

A low correlation coefficient implies that
 
  A) the line always has a flat slope
  B) in the scatterplot, the points fall quite far away from the line
  C) the two variables are unrelated
  D) you should use a tighter scale of the vertical and horizontal axis to bring the observations closer to the line

Question 2

An example of the interaction term between two independent, continuous variables is
 
  A) Yi = 0 + 1Xi + 2Di + 3(Xi  Di) + ui.
  B) Yi = 0 + 1X1i + 2X2i + ui.
  C) Yi = 0 + 1D1i + 2D2i + 3 (D1i  D2i) + ui.
  D) Yi = 0 + 1X1i + 2X2i + 3(X1i  X2i) + ui.

[makaylafy]

Answer to Question 1

Answer: B

Answer to Question 2

Answer: D