When economists use the term 'correlation',they are referring to
A)economic policy.
B)cause and effect relationships between variables.
C)normative economics.
D)positive economics.
E)how two variables move together in a predictable way.

Question

Quizplus · Accepted Answer

When economists use the term 'correlation', they are referring to how two variables move together in a predictable way. This does not necessarily imply a cause and effect relationship between the two variables, which rules out option B. It also does not have anything to do with economic policy, normative economics or positive economics.

When Economists Use the Term 'Correlation',they Are Referring to