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14. When the null is true the power curve measures a} the type] error probability h) the type II error probability c} one minus the type Ierror probability d) one minus the type I] error probability [5. Other things equal, when the sample size increases the power curve a} attens out b) becomes steeper c} is unaffected 16. Other things equal, when the type I error probability is increased the power curve a} shifts up In} shifts down c] is unaffected 6. Suppose that if the null that beta equals one is true a test statistic you have calculated is distributed as a z (standard normal) statistic. If you choose 1.75 as your critical value, what is your (one-sided) type I error probability? a) 4% b) 5% c) 6% d) 7% 7. Suppose that if the null that beta equals one is true a test statistic you have calculated is distributed as a z (standard normal) statistic. If you choose 1.28 as your critical value, what is your (two-sided) type I error probability? a) 5% b) 10% c) 15% d) 20% 8. A type I error is a) failing to reject the null when it is false b) rejecting the null when it is true1. Suppose that if the null that beta equals one is true a test statistic you have calculated is distributed as a t statistic with 17 degrees of freedom. What critical value cuts off 5% of the upper tail of this distribution? a) 1.65 b) 1.74 c) 1.96 d) 2.11 2. Suppose that in the previous question beta is equal to 1.2. Then the critical value from the previous question will cut off of the upper tail of the distribution of your test statistic. The blank is best filled with a) less than 5% b) 5% c) more than 5% 3. Suppose that if the null that alpha and beta both equal one is true a test statistic you have calculated is distributed as a chi-square statistic with 2 degrees of freedom. What critical value cuts off 5% of the upper tail of this distribution? a) 3.84 b) 5.02 c) 5.99 d) 7.38 4. Suppose that if the null that alpha and beta both equal one is true a test statistic you have calculated is distributed as an F statistic with 2 and 22 degrees of freedom for the numerator and denominator respectively. What critical value cuts off 5% of the upper tail of this distribution? b) 3.00 b) 3.44 c) 4.30 d) 5.72 5. Suppose that if the null that beta equals one is true a test statistic you have calculated is distributed as a z (standard normal) statistic. What critical value cuts off 5% of the upper tail of this distribution? a) 0.31 b) 0.48 c) 1.65 b) 2.5725. A newspaper reports a poll estimating the proportion u of the adult population in favor of a proposition as 65%, but qualifies this result by saying that "this result is accurate within plus or minus 3 percentage points, 19 times out of twenty." What does this mean? a) the probablelty is 95% that u lies between 62% and 68% b) the probability is 95% that u is equal to 65% c) 95% of estimates calculated from samples of this size will lie between 62% and 68% d) none of the above 26. In the Eviews software, when you run an OLS regression by clicking on buttons, the parameter estimates are put in a vector called a) c (for "coefficient vector") with the first element in this vector the intercept estimate b) c (for "coefficient vector") with the last element in this vector the intercept estimate c) b (for "beta vector") with the first element in this vector the intercept estimate d) b (for "beta vector") with the last element in this vector the intercept estimate 27. A newspaper reports a poll of 400 people estimating the proportion u of the adult population in favor of a proposition as 60%, but qualifies this result by saying that "this result is accurate within plus or minus x percentage points, 19 times out of twenty." The value of x in this case is about a) 2 b)3 0)4 d)5 28. In the Eviews software, in the OLS output the far right column reports a) the coefficient estimate b) the standard error c) the t value d) none of these 29. A politician wants to estimate the proportion of people in favour of a proposal, a proportion he believes is about 60%. About what sample size is required to estimate the true proportion to within plus or minus 0.05 at the 95% confidence level? a) 10 b) 100 c) 200 d) 40017. The power of a test statistic should become larger as the a) sample size becomes larger b) type II error becomes larger c) null becomes closer to being true d) significance level becomes smaller 18. A manufacturer has had to recall several models due to problems not discovered with its random final inspection procedures. This is an example of a) a type Ierror b) a type II error c) both types of error d) neither type of error 19. As the sample size becomes larger, the type I error probability a) increases b) decreases c) does not change d) can't tell 20. Consider the following two statements: a) If you reject a null using a one-tailed test, then you will also reject it using a two-tailed test at the same significance level; b) For a given level of significance, the critical value of t gets closer to zero as the sample size increases. a) both statements are true b) neither statement is true c) only the first statement is true d) only the second statement is true 21. Power is the probability of making the right decision when a) the null is true b) the null is false c) the null is either true or false d) the chosen significance level is 100%9. The probability of a type I error is determined by a) the researcher b) the sample size c) the degree of falsity of the null hypothesis d) both b) and c) above 10. A type II error is a) failing to reject the null when it is false b) rejecting the null when it is true 1 1. The probability of a type II error is determined by a) the researcher b) the sample size c) the degree of falsity of the null hypothesis d) both b) and c) above 12. Hypothesis testing is based on a) minimizing the type I error b) minimizing the type II error c) minimizing the sum of type I and type II errors d) none of these 13. A power curve graphs the degree of falseness of the null against a) the type I error probability b) the type II error probability c) one minus the type I error probability d) one minus the type II error probability