In 1979 the annual median household income in the U.S. was $28,220. In 2019, the annual median household income in the U.S. was $68,703. The CPI in 1979 was 72.6 and in 2019 the CPI was 255.8. a. How much would a salary of $28,220 in 1979 be in 2019 dollars? Is that more or less than the actual median household income of $68,703 in 2019? b. A friend is saying that the median household income has more than doubled since 1979 so we have a better quality of life now. Looking at your results from part a, do you agree? What would you say to your friend to support or refute their claims?
Contingency Table
A contingency table can be defined as the visual representation of the relationship between two or more categorical variables that can be evaluated and registered. It is a categorical version of the scatterplot, which is used to investigate the linear relationship between two variables. A contingency table is indeed a type of frequency distribution table that displays two variables at the same time.
Binomial Distribution
Binomial is an algebraic expression of the sum or the difference of two terms. Before knowing about binomial distribution, we must know about the binomial theorem.
In 1979 the annual median household income in the U.S. was $28,220. In 2019, the annual median household income in the U.S. was $68,703. The CPI in 1979 was 72.6 and in 2019 the CPI was 255.8.
a. How much would a salary of $28,220 in 1979 be in 2019 dollars? Is that more or less than the actual median household income of $68,703 in 2019?
b. A friend is saying that the median household income has more than doubled since 1979 so we have a better quality of life now. Looking at your results from part a, do you agree? What would you say to your friend to support or refute their claims?
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 1 images
