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Problem 2 [20 points] You are in charge of rural economic development in a rapidly developing country that is using its newfound oil wealth to
Problem 2 [20 points] You are in charge of rural economic development in a rapidly developing country that is using its newfound oil wealth to develop the entire country. As part of your responsibility you have been asked to determine if there is evidence that the new rice-growing procedures have increased output per hectare. A random sample of 2? elds was planted using the old procedure, and the sample mean output was 6!} per hectare with a sample variance of 100. During the second year the new procedure was applied to the same elds and the sample mean output was 64 per hectare, with a sample variance of 150. The sample correlation between the two elds was 0.38. Use a hypothesis test with an asymptotic probability of Type I error = [1.05 to determine if there is strong evidence to support the conclusion that the new process leads to higher output per hectare, and interpret the results. You will not be penalized for minor numerical mistakes while doing the computation
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