What is the primary problem with comparing prices over time? - Answer-Inflation
How is inflation calculated? - Answer-Using consumer price index
Who documents the consumer price index? - Answer-Bureau of Labor Statistics
If you see an old movie where an ice cream vendor is selling cones fo...
POLS 207 Reality Check Exam
Questions and Answers
What is the primary problem with comparing prices over time? - Answer-Inflation
How is inflation calculated? - Answer-Using consumer price index
Who documents the consumer price index? - Answer-Bureau of Labor Statistics
If you see an old movie where an ice cream vendor is selling cones for 5 cents a piece,
is the price measured in current dollars or real dollars? - Answer-Current dollars. Any
price taken in the year its in and unadjusted will be current dollars
If your salary increases by 2% in a year but inflation also increases by 2%, are you
actually gaining more wealth? - Answer-No, you won't have any more buying power
because inflation, so you're not really making any more money than you were before
From 2004 to 2013, PR specialist salaries increased by 25% on average and reporters
salaries increased by 14% on average. Inflation over that time period was 22-23%. Did
either actually earn more real money? - Answer-PR Specialist's income slightly rose by
about 2%. Reporter salary decreased by 8%
How does Edward Tufte rephrase the common saying "correlation does not equal
causation" more accurately? - Answer-He states that correlation is necessary, but not
sufficient for causation, however it can hint at causation.
What are the 5 different possibilities when a and b are correlated? - Answer-a causes b,
b causes a, a and b cause each other, a and b are caused by a mutual third factor,
correlation is purely coincidental
Of the 5 different possibilities when a and b are correlated, which ones are spurious? -
Answer-a and b caused by a third factor or coincidental.
Ice cream sales and drowning are correlated. Which one of the five possibilities is most
likely? - Answer-a and b caused by third factor. In this case it's heat/summertime
increasing ice cream consumption (and therefore sales) and swimming (and therefore
drowning)
What does the phrase "cum hoc ergo propter hoc" translate to? - Answer-"with this,
therefore because of this" (essentially, correlation = causation)
Temperature and ice cream sales have a positive correlation. Which of the 5 scenarios
is most likely? - Answer-a causes b (people want to eat more ice cream to cool down)
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