Economics: Cost of Living Index In the following data pairs, A represents the cost of living index
Question:
Economics: Cost of Living Index In the following data pairs, A represents the cost of living index for housing and B represents the cost of living index for groceries. The data are paired by metropolitan areas in the United States.
A random sample of 36 metropolitan areas gave the following information
(Reference: Statistical Abstract of the United States, 121st edition):
A: 132 109 128 122 100 96 100 131 97 B: 125 118 139 104 103 107 109 117 105 A: 120 115 98 111 93 97 111 110 92 B: 110 115 105 109 104 102 100 106 103 A: 85 109 123 115 107 96 108 104 128 B: 98 102 100 95 93 98 93 90 108 A: 121 85 91 115 114 86 115 90 113 B: 102 96 92 108 117 109 107 100 95 i. Let d be the random variable d 5 A B. Use a calculator to verify that d < 2.472 and sd < 12.124.
ii. Do the data indicate that the U.S. population mean cost of living index for housing is higher than that for groceries in these areas? Use a 5 0.05.
Step by Step Answer:
Understanding Basic Statistics
ISBN: 9781305548893
7th Edition
Authors: Charles Henry Brase, Corrinne Pellillo Brase