A? government\'s economic analysis branch recently released figures that they cl
ID: 3369623 • Letter: A
Question
A? government's economic analysis branch recently released figures that they claimed showed a growth spurt in the western region of a certain country that is divided into 51
states. Using the accompanying? table, where the cell values are numbers of? states, determine if the percent change in real GDP by state was independent of region of the country. Use alpha?=0.05.
GDP? %
Change
Region
Top? 40%
Bottom? 60%
Total
West
11
4
15
Midwest
4
8
12
Southeast
4
8
12
Northeast
2
10
12
Total
21
30
51
What is the test? statistic?
What is p value
GDP? %
Change
Region
Top? 40%
Bottom? 60%
Total
West
11
4
15
Midwest
4
8
12
Southeast
4
8
12
Northeast
2
10
12
Total
21
30
51
Explanation / Answer
H0 : The percent change in real GDP by state was independent of region of the country
H1: The percent change in real GDP by state was not independent of region of the country
Let the los be alpha = 5%
The expected frequencies are
The chisquare contribution values are
Test Statistic, X^2: 9.99
Critical X^2: 7.814736
P-Value: 0.0187
Here chsiquare value > chsiquare critical value and P-value < alpha 0.05 so we reject H0
Thus we conclude that the percent change in real GDP by state was not independent of region of the country
Gender Top 40% Bottom 60% Total West 6.176 8.824 15 Midwest 4.9412 7.0588 12 Southeast 4.941 7.059 12 Northeast 4.941 7.059 12 Total 20.9992 30.0008 51