oil companies drill more oil wells? To determine the strength and nature of the relationship, an…

oil companies drill more oil wells? To determine the strength and nature of the relationship, an…

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oil companies drill more oil wells? To determine
the strength and nature of the relationship, an
economist recorded the price of a barrel of domestic
crude oil (West Texas crude) and the number of
exploratory oil wells drilled for each month from
1973 to 2010. Analyze the data and explain what you
have discovered.
Source: U.S. Department of Energy.
4.72 Xr04-72 One way of measuring the extent of unemployment
is through the help wanted index, which
measures the number of want ads in the nation’s
newspapers. The higher the index, the greater the
demand for workers. Another measure is the unemployment
rate among insured workers. An economist
wanted to know whether these two variables
are related, and if so, how. He acquired the help
wanted index and unemployment rates for each
month between 1951 and 2006 (last year available).
Determine the strength and direction of the
relationship.
Source: U.S. Department

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