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Hypothesis testing for two means and two proportions

Class Time:

Names:

Student learning outcomes

  • The student will select the appropriate distributions to use in each case.
  • The student will conduct hypothesis tests and interpret the results.

    Supplies:

  • the business section from two consecutive days’ newspapers
  • three small packages of M&Ms®
  • five small packages of Reese's Pieces®

Increasing stocks survey


Look at yesterday’s newspaper business section. Conduct a hypothesis test to determine if the proportion of New York Stock Exchange (NYSE) stocks that increased is greater than theproportion of NASDAQ stocks that increased. As randomly as possible, choose 40 NYSE stocks, and 32 NASDAQ stocks and complete the following statements.

  1. H 0 : _________
  2. H a : _________
  3. In words, define the random variable.
  4. The distribution to use for the test is _____________.
  5. Calculate the test statistic using your data.
  6. Draw a graph and label it appropriately. Shade the actual level of significance.
    1. Graph:
      This is a blank graph template. The vertical and horizontal axes are unlabeled.
    2. Calculate the p -value.
  7. Do you reject or not reject the null hypothesis? Why?
  8. Write a clear conclusion using a complete sentence.

Decreasing stocks survey


Randomly pick eight stocks from the newspaper. Using two consecutive days’ business sections, test whether the stocks went down, on average, for the second day.

  1. H 0 : ________
  2. H a : ________
  3. In words, define the random variable.
  4. The distribution to use for the test is _____________.
  5. Calculate the test statistic using your data.
  6. Draw a graph and label it appropriately. Shade the actual level of significance.
    1. Graph:
      This is a blank graph template. The vertical and horizontal axes are unlabeled.
    2. Calculate the p -value:
  7. Do you reject or not reject the null hypothesis? Why?
  8. Write a clear conclusion using a complete sentence.

Candy survey

Buy three small packages of M&Ms and five small packages of Reese's Pieces (same net weight as the M&Ms). Test whether or not the mean number of candy pieces per package is the same for the two brands.

  1. H 0 : ________
  2. H a : ________
  3. In words, define the random variable.
  4. What distribution should be used for this test?
  5. Calculate the test statistic using your data.
  6. Draw a graph and label it appropriately. Shade the actual level of significance.
    1. Graph:
      This is a blank graph template. The vertical and horizontal axes are unlabeled.
    2. Calculate the p -value.
  7. Do you reject or not reject the null hypothesis? Why?
  8. Write a clear conclusion using a complete sentence.

Shoe survey

Test whether women have, on average, more pairs of shoes than men. Include all forms of sneakers, shoes, sandals, and boots. Use your class as the sample.

  1. H 0 : ________
  2. H a : ________
  3. In words, define the random variable.
  4. The distribution to use for the test is ________________.
  5. Calculate the test statistic using your data.
  6. Draw a graph and label it appropriately. Shade the actual level of significance.
    1. Graph:
      This is a blank graph template. The vertical and horizontal axes are unlabeled.
    2. Calculate the p -value.
  7. Do you reject or not reject the null hypothesis? Why?
  8. Write a clear conclusion using a complete sentence.

Questions & Answers

Ayele, K., 2003. Introductory Economics, 3rd ed., Addis Ababa.
Widad Reply
can you send the book attached ?
Ariel
?
Ariel
What is economics
Widad Reply
the study of how humans make choices under conditions of scarcity
AI-Robot
U(x,y) = (x×y)1/2 find mu of x for y
Desalegn Reply
U(x,y) = (x×y)1/2 find mu of x for y
Desalegn
what is ecnomics
Jan Reply
this is the study of how the society manages it's scarce resources
Belonwu
what is macroeconomic
John Reply
macroeconomic is the branch of economics which studies actions, scale, activities and behaviour of the aggregate economy as a whole.
husaini
etc
husaini
difference between firm and industry
husaini Reply
what's the difference between a firm and an industry
Abdul
firm is the unit which transform inputs to output where as industry contain combination of firms with similar production 😅😅
Abdulraufu
Suppose the demand function that a firm faces shifted from Qd  120 3P to Qd  90  3P and the supply function has shifted from QS  20  2P to QS 10  2P . a) Find the effect of this change on price and quantity. b) Which of the changes in demand and supply is higher?
Toofiq Reply
explain standard reason why economic is a science
innocent Reply
factors influencing supply
Petrus Reply
what is economic.
Milan Reply
scares means__________________ends resources. unlimited
Jan
economics is a science that studies human behaviour as a relationship b/w ends and scares means which have alternative uses
Jan
calculate the profit maximizing for demand and supply
Zarshad Reply
Why qualify 28 supplies
Milan
what are explicit costs
Nomsa Reply
out-of-pocket costs for a firm, for example, payments for wages and salaries, rent, or materials
AI-Robot
concepts of supply in microeconomics
David Reply
economic overview notes
Amahle Reply
identify a demand and a supply curve
Salome Reply
i don't know
Parul
there's a difference
Aryan
Demand curve shows that how supply and others conditions affect on demand of a particular thing and what percent demand increase whith increase of supply of goods
Israr
Hi Sir please how do u calculate Cross elastic demand and income elastic demand?
Abari
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Source:  OpenStax, Introductory statistics. OpenStax CNX. May 06, 2016 Download for free at http://legacy.cnx.org/content/col11562/1.18
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