Lesson plan
Low base effect
Low base effect in business and economics is the tendency of a small absolute change from a low initial amount to be translated into a large percentage change. In the following example, focusing solely on the 33.3% growth of Company B in year 5 may give a misleading indication of the company's relative performance versus Company A.
Article summary
Low base effect in business and economics is the tendency of a small absolute change from a low initial amount to be translated into a large percentage change. In the following example, focusing solely on the 33.3% growth of Company B in year 5 may give a misleading indication of the company's relative performance versus Company A.
Key claims
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Discussion questions
- Summarise the article in your own words. Which single claim would you verify first, and why?
- Which claim in this article is most likely to be revised as the sources update? How would you check its current status?
- If two sources disagreed about one of these facts, what would you need in order to trust one over the other?
Bibliography
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Key claims and bibliography are generated from the same tracked claims and sources as the article page.