Suppose you have been hired by a consumer advocacy group who is concerned about changes in farm animal welfare regulations in New Zealand. Specifically, the government has decided to phase out the use of confinement systems used in intensive indoor pig farming, in favour of systems that allow the pigs a greater degree of freedom. The consumer group is concerned that these regulations - designed to improve animal welfare - will have a negative impact on low income consumers through increasing prices.

You are given some raw data on prices for bacon in New Zealand, along with information about how the meat was produced. Care was taken to make sure that the sample was representative of the volume of bacon sold by production method. The data is contained in the file called Bacon Data on the website, and variables are defined as follows:

Variable Name Description

ID number A numerical identification code for the store from which the data was collected.

Production Method An indication of how the pigs were farmed:

Indoors = pigs farmed in relatively intensive systems in barns

Free Farmed = breeding stock are kept in unrestrictive facilities with access

to the outdoors; young stock are reared indoors

Free Range = pigs spend their lives in outdoor facilities with suitable shelter

Price The price per 250 gm packet, in NZ dollars

Please answer the following:

a) Provide a brief description of the data.

b) Animal welfare groups claim that the majority of New Zealanders are concerned about animal welfare, and are willing to buy welfare friendly meat even if it is more expensive. However, you believe that more than 50% of the bacon sold in New Zealand is not 'welfare friendly'. Does thedata provide evidence that more than 50% of the bacon sold in New Zealand is produced using intensive indoor production systems? Support your answer with a formal hypothesis test.