ASSIGNMENT:
1. What is meant by a direct relationship between two variables? Give an example.
2. What is meant by an inverse relationship between two variables? Give an example.
3. State the formula for slope of a line and explain what it measures.
4. Explain what a slope of .5 would mean if you were measuring the relationship between consumer spending and income, where the dependent variable is consumer spending and the independent variable is income?
5. What does the term ceteris paribus refer to when used in economics?
6. Explain what is meant when the slope of a line is zero, and give an example.
7. Explain what is meant when the slope of a line is infinity, and give an example.