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part e is a yes or no question A health policy economist interested In investigating the relationship between the cost of prescription drugs in Canada

part e is a yes or no question

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A health policy economist interested In investigating the relationship between the cost of prescription drugs in Canada and the cost of prescription drugs in the Esp United States has Information from a random sample of 45 prescription drugs sold in both countries. For each of these drugs, the economist is examining two pieces of Information: the average cost x (in Canadian dollars) of a one-month supply of the drug in Canada, and the average cost y (in U.S. dollars) of a one- month supply of the drug in the United States. Using computer software, the economist finds that, for the sample of drugs examined, the least-squares regression equation relating x and y is y = -0.65 + 0.74x. The economist also notices from the software that the standard error of the slope of the least-squares regression line Is approximately 0.53. Test for a significant linear relationship between x and y by doing a hypothesis test regarding the population slope , . (Assume that the variable y follows a normal distribution for each value of x and that the other regression assumptions are satisfied.) Use the 0.10 level of significance, and perform a two-tailed test. Then complete the parts below. (If necessary, consult a list of formulas.) (a) State the null hypothesis H and the alternative hypothesis H. B P Ho : I X H : (b) Determine the type of test statistic to use. (Choose one) (c) Find the value of the test statistic. (Round to three or more decimal places.) X 2 (d) Find the two critical values at the 0.10 level of significance. (Round to three or more decimal places.) and (e) Based on the data, can the economist conclude (using the (. 10 level) that there is a significant linear relationship between the average prescription drug cost in Canada and the average prescription drug cost in the United States

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