For each successive presidential term from Teddy Roosevelt to William J. Clinton (second term), the party affiliation controlling the White House is shown below, where R designates Republican and D designates Democrat.† R R R D D R R D D D D D R D R R D R R R D D     Historical Note: In cases in which a president died in office or resigned, the period during which the vice president finished the term is not counted as a new term. Test the sequence for randomness. Use ? = 0.05.   (a)What is the level of significance?   (b)Find the sample test statistic R, the number of runs.   (c)Find the upper and lower critical values in the Critical Values for Number of Runs R table.

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For each successive presidential term from Teddy Roosevelt to William J. Clinton (second term), the party affiliation controlling the White House is shown below, where R designates Republican and D designates Democrat.†

R R R D D R R D D D D D
R D R R D R R R D D    
Historical Note: In cases in which a president died in office or resigned, the period during which the vice president finished the term is not counted as a new term.
Test the sequence for randomness. Use ? = 0.05.
 
(a)What is the level of significance?
 
(b)Find the sample test statistic R, the number of runs.
 
(c)Find the upper and lower critical values in the Critical Values for Number of Runs R table.
 
Expert Solution
Step 1

Part a:

The level of significance is ∝ = 0.05.

The test hypothesis are,

H0: The symbols are randomly mixed.

H1: The symbols are not randomly mixed.

We reject the null hypothesis is R< c1 or R > c2.

(Where, c1 and c2 are the lower and upper critical values)

Step 2

Part b:

From the provided data we have,

RRR DD RR DDDDD R D RR D RRR DD.

Thus, the number of runs = R = 10.

Hence, test statistic = R = 10.

n1 = number of times symbol R occurred = 11

n2 = number of times symbol D occurred = 11.

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