Author Question: If R2 is less than 1 A) the regression analysis is incorrect. B) the observation data is ... (Read 61 times)

Beheh · **on:** Jul 1, 2018

If R2 is less than 1

A) the regression analysis is incorrect.
B) the observation data is suspect.
C) some observations do not lie on the regression line.
D) the probability of having the correct fit is very low.

Question 2

If adverse selection exists in a market

A) the government steps in and shuts it down.
B) the market is considered a grey market.
C) consumers may not participate in the market at all.
D) total surplus is maximized.