Exhibit 1A-3 Straight line
Straight line AB in Exhibit 1A-3 is a downward sloping line illustrating:
A) a direct relationship between X and Y.
B) an inverse relationship between X and Y.
C) X and Y are unrelated variables.
D) the ceteris paribus assumption.

Question

Exhibit 1A-3 Straight line 
Straight line AB in Exhibit 1A-3 is a downward sloping line illustrating:
A) a direct relationship between X and Y. 
B) an inverse relationship between X and Y. 
C) X and Y are unrelated variables. 
D) the ceteris paribus assumption.

Quizplus · Accepted Answer

A downward sloping line indicates an inverse relationship between X and Y, meaning that as X increases, Y decreases and vice versa.

Exhibit 1A-3 Straight Line