Government subsidy is intended to reduce the cost of living for the people. Government subsidies may be in the form of cash or goods for people. Suppose a government’s records shows that 20% of the total population receives government subsidies and 75% of them are unemployed.

The 70% of the total population who do not receive subsidies are unemployed.

a) What percentage of the population does not receive government subsidy?

b) What type of probability is the 70% mentioned above?

c) Construct a contingency table showing all the joint and marginal probabilities.

d) What is the probability that a person does not receive government subsidy given that he or she is unemployed?

e) Are Do not receive government subsidy and Unemployed independent? Explain.