655 topic 3 disc

Purchasing power parity (PPP) implies that exchange rate movements should mirror relative price movements between countries in the long run. PPP holds if exchange rate or relative prices adjust negatively to deviations between exchange rates and relative prices. Using 147 annual observations between the U.S. and the U.K. from 1871 to 2017, recent research finds an adjustment of -0.19 with a sample standard deviation of 0.692. a) Based on the research evidence, test if PPP holds at a 3% significance level. Please show the full workings and justify the decision. b) 1%, 5% or 10% levels of significance are only conventional levels of significance. Illustrate how the level of significance is a choice and could vary across contexts.

A study compared grade point averages (GPA) for students in a class: students were divided by 6 locations where they usually sat during lecture (i.e. left or right front, left or right center, left or right rear). A total sample size of 12 students was studied (2 students from each section) using one-way analysis of variance. i. The sum of squared errors is SSE = 50. What is the value of the Mean Square Error (MSE )? 08.33 04.17 ONone of these O10.00 ii. The sum of squares for location is SSX= 60. What is the Mean Square for X(MSX )? O12 O10 O30 ONone of these

You are the manager of a restaurant for a fast-food franchise. Last month, the mean waiting time at the drive-through window for branches in your geographical region, as measured from the time a customer places an order until the time the customer receives the order, was 3.9 minutes. You select a random sample of 64 orders. The sample mean waiting time is 3.63 minutes, with a sample standard deviation of 0.8 minute. Complete parts (a) and (b) below. ..... a. At the 0.05 level of significance, is there evidence that the population mean waiting time is different from 3.9 minutes? State the null and alternative hypotheses. Ho: H (Type integers or decimals.)

Sir Francis Galton, a cousin of James Darwin, examined the relationship between the height of children and their parents towards the end of the 19th century. It is from this study that the name "regression" originated. You decide to update his findings by collecting data from 110 college students, and estimate the following relationship: Studen th = 19.6 + 0.73 × Midparh, R2 = 0.45, SER = 2.0 (7.2) (0.10) where Studenth is the height of students in inches, and Midparh is the average of the parental heights. Values in parentheses are heteroskedasticity robust standard errors. Interpret the estimated slope coefficient and intercept coefficient. What is the meaning of the regression R2 ? What is the prediction for the height of a child whose parents have an average height of 70.06 inches? a. b. с. d. What is the interpretation of the SER here? Is the slope coefficient statistically significantly different from zero (at the 5% significance level)? e.

25 An economist would like to test the hypothesis that the average daily screen time that a person spends on mobile devices is greater than 300 minutes. A random sample of 30 smartphone users was selected and their daily screen time was recorded. The standard deviation for the 30 smartphone owners using their devices is 112.19 minutes and the sample mean of the daily screen time is 297.17 minutes. Using a = 0.05, the test statistic of the sample mean is -1.38 -0.138. 0.138 O 1.38

Suppose that a researcher, using data on class size (CS) and average test scores from 100 third-grade classes, estimates the OLS regression: TestScore = 520.4 – 5.82 × CS, R² = 0.08, SER = 11.5. a. The sample average class size across the 100 classrooms is 21.4. What is the sample average of the test scores across the 100 classrooms? b. What is the sample standard deviation of test scores across the 100 classrooms?

A statistics instructor is interested in the ability of students to assess the difficulty of a test they have taken. This test was taken by a large group of students, and the average score was 78.5. A random sample of eight students was asked to predict this average score. Their predictions were as follows:72 83 78 65 69 77 81 71Assuming a normal distribution, test the null hypothesis that the population mean prediction would be 78.5. Use a two-sided alternative and a 10% signifi- cance level.

You estimated the following relationship between the annual salary (S) and the length of employment in the retail sector (LEmp), using a large sample. Salary is measured in dollars and Length of employment in years. The results are as follows: Ŝ; = 23, 005 + 1, 534.4LEmpi i (6,450.8) (524.5) where the appropriate standard errors of the estimators are given in parentheses. The 99% confidence interval for the slope is approximately: O [183.4, 2885.4] [1009.9, 2058.9] O [506.4, 2562.4] O [671.7, 2397.1]

Next 3 questions are related to the following: A random sample of 1200 vehicles on a freeway are clocked to test the hypothesis that the proportion of vehicles driving above 80 miles per hour is 25%. The number of vehicles in the sample driving above 80 mph is 326. What is the sample proportion? 31 a 0.267 0.272 0.276 d 0.281 32 The test statistic is: a 1.73 1.67 1.60 d 1.54 33 The p-value is, 0.0830 Reject Ho at a = 0.10. 0.0798 Do not reject Ho at a = 0.05. 0.0415 Reject Ho at a = 0.05. 0.0399 Reject Ho at a = 0.05. a b d

ASSISTANCE REQUIRED FOR PART "e" i- vi ONLY, please. Also can you please show step by step how to get null and alternative in the hypothesis?   A car company wants to know the monthly sales made in ($000), based on the brand of vehicle.The data collected was entered on a MINITAB spreadsheet for analysis. Exhibit II below was subsequently generated. Exhibit 2 Model N Mean Median Tri.Mean Std Dev  S.E. Mean Hyundai 23 109 135 107.64  * 1.34 Toyota 27 165 124  143.65 9.5 ** a) Determine the values of * and **. b) Give the unbiased point estimate for the average monthly earning from Hyundai Vehicles.c) Give the unbiased point estimate for the variance of monthly earning from Hyundai Vehicles.d) Assuming normality, construct and interpret a 90% confidence interval for the average monthly earning from Toyota Vehicles. e) You are required to test at the 5% level of significance the hypothesis that the average monthly earnings on Hyundai Vehicles is equal to $110,000 versus the…

Sir Francis Galton, a cousin of James Darwin, examined the relationship between the height of children and their parents towards the end of the 19th century. It is from this study that the name "regression" originated. You decide to update his findings by collecting data from 110 college students, and estimate the following relationship: Studenth=19.6+ 0.73x Midparh, R²=0.45, SER=2.0 (7.2) (0.10) where Studenth is the height of students in inches, and Midparh is the average of the parental heights. Values in parentheses are heteroskedasticity robust standard errors. (Following Galton's methodology, both variables were adjusted so that the average female height was equal to the average male height.) For the following questions except (d), type your answers in two decimal places. (a) If we test for the statistical significance of the slope coefficient, the relevant f-statistic is t = (b) Construct a 95% confidence interval for a one inch increase in the average of parental height: ( (c)…

A hypothesis regarding the weight of newborn infants at a community hospital is that the mean is 6.6 pounds. A sample of seven infants is randomly selected and their weights at birth are recorded as 9.0, 7.3, 6.0, 8.8, 6.8, 8.4, and 6.6 pounds. If α = 0.05, what is the critical t value? 2) A hypothesis regarding the weight of newborn infants at a community hospital is that the mean is 6.6 pounds. A sample of seven infants is randomly selected and their weights at birth are recorded as 9.0, 7.3, 6.0, 8.8, 6.8, 8.4, and 6.6 pounds. what is the degree of freedom

The management of a soft drink company is interested in determining whether the proper amount of soft drink has been placed in 1-liter bottles at the local bottling plant. The bottling plant has informed the management that the population standard deviation for 1-liter bottles is 0.025 liter. A random sample of 100 1-liter bottles selected from this bottling plant indicates a sample mean of 0.995 liters. Use a one-sample hypothesis test to decide whether the mean amount in the bottles is different from 1.0 liters. Use a 0.05 level of significance.   State the null and alternative hypothesis for this problem. Determine the sample test statistic value for this problem. Determine the critical test statistic value for this problem. What is your statistical decision for this problem?

You have a regression: Ý 0.42 + 0.9 X₁ - 1.37X2 +0.61X3 (0.24) (0.5) (0.34) N = 50, R² = 0.67 What is the test statistic for Ho: B2 B3 B4 = 0 v.s. H₁ at least one of them is not zero. 28.71 31.13 31.8 46.7

A national random sample of 20 ACT scores from 2010 is as follows: (29, 26, 13, 23, 23, 25, 17, 22, 17, 19, 12, 26, 30, 30, 18, 14, 12, 26, 17, 18). Calculate the sample mean and standard deviation. Assuming that the ACT is normally distributed, what is the 95% confidence interval for the population ACT score. Group of answer choices 18.25 to 23.45 15.32 to 23.05 19.52 to 22.19 14.32 to 23.15

Grace Floral Shop claims that their average daily earnings is $497. An auditor wants to determine whether this claim is true. The auditor randomly selected a sample of 100 days and found that the sample mean earnings was $495 with a sample standard deviation of 9.75. Calculate the 97% confidence interval for the population mean daily earning.   Assist the auditor in conducting a hypothesis test, at the 3% level of significance, to determine whether the claim about their average daily earnings was overstated. State the null and the alternative hypothesis for this test. Using the p-value approach, state the decision rule for this Calculate the value of the test statistic for this test. Calculate the p-value for this test? State the conclusion of this test. Give reason for your

A random sample of residents from various income brackets was asked their opinion on tax reform for the country of Guyana. The data so gathered were analyzed by a statistician and the results he obtained using MINITAB are shown below:   Expected counts are printed below observed counts     Low Middle High Total For 26 (30.67) 75 (51.11) 14 (33.22) 115 Against 60 (69.33) 95 (115.56) 105 (**) 260 Neutral 34 (20) 30 (33.33) 11 (21.67) 75 Total * 200 130 450 Chi-sq = 0.71 + 11.17 + 11.12 +     *** + 3.66 + 11.89 +     9.8 + 0.33 + 5.25 = 55.2 DF =??, p-value =???   Carefully define the null and alternative hypotheses of the x2 test underlying the generation of the above table.  Find the missing values ‘*’, ‘**’, ‘***’, ‘??’ and ‘???’. What is the conclusion of this test? Give reasons for your answer.

1) A researcher estimates an​ AR(1) with an intercept and finds that the OLS estimate of β1 is​ 0.95, with a standard error of 0.02. Does a​ 95% confidence interval include β1=1​?   A.​Yes, since the value of the t​-statistic for the null hypothesis β1=1 is −2.50 and the​ 5% critical value of the augmented​ Dickey-Fuller statistic is −​2.86, the null hypothesis is not rejected. Thus β1=1 is in the​ 95% confidence interval.   B.​No, the​ interval, calculated as β1±1.96SEβ1​, is from 0.91 to 0.99.   C.​No, since the value of the t​-statistic for the null hypothesis β1=1 at the​ 5% level is −2.50.   D.​No, because the critical value of the augmented​ Dickey-Fuller statistic at the​ 5% significance level is −2.86.

Question 2 In 2015, the average duration of long-distance telephone calls from a certain town was 3.9 minutes. A telephone company wants to perform a test to determine whether this average duration of long- distance calls has changed. Fifty calls, originating from the town, was randomly selected and the following summary minutes. Σx= 205 E(x - x)? = 56.43 a) Calculate the sample mean, &. b) Calculate the sample standard deviation c) Using the p value approach at the 1% level of significance, test whether the mean duration of long-distance calls from the town had increased. d) Construct the 99% confidence interval for the population mean duration of the long-distance calls from the town.

In regression model: Yi = B1+ B2Xi+ Ei, where Ei is a random variable independent of Xi, with mean and variance constant and different from zero. Ei ~(media, varianza) Obtain the OLS estimator of ẞ2. Show that the properties of finite samples hold.

The weights of soy patties sold by Veggie Burgers Delight are normally distributed. A random sample of 15 patties yields a mean weight of 4.8 ounces with a sample standard deviation of 0.3 ounces. At the 0.05 level of significance, perform a hypothesis test to see if the true mean weight is less than 4 ounces.   The correct conclusion at the 0.05 level of significance is ________________________ .   a.   reject the null hypothesis; evidence suggests that the mean weight is less than 4 ounces   b.   do not reject the null hypothesis   c.   do not reject the null hypothesis; evidence suggests that the mean weight is less than 4 ounces   d.   reject the null hypothesis   e.   evidence suggests that the mean weight is less than 4 ounces

the regression R2 is 0.98.This mean

The National Association of Colleges (NAC) reported in 2003 that the mean starting salary for collegegraduates majoring in management information systems was $40,915 and for psychology major was$27,454. Suppose the NAC data are based on surveys of size 144 for each major, with a standarddeviation of $10,000 for the management information systems majors and $7000 for the psychologymajors. Construct and interpret a 95% confidence interval for the difference between two means.

1) In the method,two independent variable are assumed to have;   a)Low collinearity   b)High collinearity   c)No collinearity   d)Perfect collinearity   2) If variance of coefficient cannot be applied, we cannot conduct test for;   a) Correlation   b) Determination   c)Significant   d) Residual term

Suppose you are interested in the relationship between hours of sleep per day and happiness: Happiness, Bo + B₁ Sleepi + Uj You regress the model above, using OLS, and obtain ₁ = 10, with the appropriate standard error = 5.88. Construct a 90% confidence interval confidence interval for ₁. Round the lower bound and the upper bound of the interval to two decimal places: The lower bound is is and the upper bound

senior accounting major at Midsouth State University has job offers from four CPA firms. To explore the offers further, she asked a sample of recent trainees how many months each worked for the firm before receiving a raise in salary. The sample information is submitted to Minitab with the following results:   Analysis of Variance   Source df SS MS F P Factor 3 28.17 9.39 5.37 0.010 Error 15 26.26 1.75     Total 18 54.43         What is the decision rule? (Round your answer to 2 decimal places.)         At the 0.05 level of significance, is there a difference in the mean number of months before a raise was granted among the four CPA firms?

Suppose you randomly select a sample of 16 observations from a population with u = 8and o = 2You find x = 7. The sampling error is -0.5 0.5 -1

Air Quality Index is a way to measure particle pollution in the air. An index between 0 and 50 is considered good; between 51 and 100 is moderate; more 100 is considered unhealthy for sensitive groups and others. A recent sample data of air quality index values for Pomona in Southern California provided the following data. 50, 52, 59, 56, 58 What are the sample mean, sample variance and the sample standard deviation?

The Sydney Airport Commission set a performance target of 26 minutes for the time taken for passengers to claim their luggage at domestic terminals. In order to monitor performance a study was conducted by taking a random sample of 200 passengers disembarking from Sydney airport. If the study found a p-value of 0.5 what was the sample mean time taken by passengers to claim their luggage? (Your answer should be correct to one decimal place.)