1) Suppose you had to build a “model” of the best way to maintain a new Honda Ci

Question

1) Suppose you had to build a “model” of the best way to maintain a new Honda Civic. What three principal variables would you choose to keep the car in excellent running condition, e.g. change the oil every 10,000 miles, etc? Do you think that your three variables CAUSE the car to run better, or is it just an observed correlation based on experience? Does it matter whether or not the impact of your three variables is causation or correlation? What are three exogenous variables (or shocks) that could change your expected outcome of excellent running condition?

(2)

Now, in the same way, build a model of the desire of individuals to purchase ice cream with their hard-earned money. What might be three principal variables that would influence the decision to buy? Would it matter if these variables were causative or correlative? Name three exogenous variables that could change the decision to buy ice cream for any given values of the three main variables you have chosen.

Explanation / Answer

1) three variables will be

These three variables CAUSE the car to run better as it is told by manufacturing companies as maintenance tips and it has been proved by researchers also statistically. Normally it would definetly matter if a factor is based on causation or correlation but when talking about a single user eg. myself then it makes a little diferrence. Three exegenous variables that can cause change in expected outcome can be

Related Questions

Navigate

• Browse (All)
• Browse 1
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.