Question

does the correlation in the situation illustrate causation? the value of a collectible plate decreases as the number of plates produced increases. a) no, a decrease in the value of a collectible plate likely does not cause more plates to be produced. b) no, producing more collectible plates likely does not cause the value of the plate to decrease. c) yes, a decrease in the value of a collectible plate likely causes more plates to be produced. d) yes, producing more collectible plates likely causes the value of the plate to decrease.

Explanation:

Correlation does not always imply causation. In this case, when the number of collectible plates produced increases, the value of the plate decreases. This is a classic supply - and - demand relationship. When supply (number of plates produced) increases, ceteris paribus (all other things being equal), the value (price) of the item decreases. So, producing more plates (increase in supply) causes the value to decrease.

Answer:

D. Yes, producing more collectible plates likely causes the value of the plate to decrease.