It is common to think that the more education anindividual receives, the higher the person's income is likely to be. Does this idea translate to states? The folloWing data represent the percentage of the population that has at least a bachelor s degree and the per capita personal income for a random sample of states. Test the claim that states with a higher percentage of the population with at least a bachelor's degree have a higher per capita personal income at the 0.05 level of significance. Data Percentage of Population with atLeast a Bachelor's Degree Per Capita Personal Income (Dollars) State Arkansas 17.4 24,289 California 29.8 33,749 29,043 Iowa 24.6 Louisiana 22.3 26,100 Maine 23.7 28,831 Nebraska 26.8 30,758 Ohio 25.0 29,944 Oregon 26.4 29 340 Texas 24.7 29,372 Source: Statistical Abstract of the United States, 2004

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It is common to think that the more education anindividual receives, the higher the person's income
is likely to be. Does this idea translate to states? The following data represent the percentage of
the population that has at least a bachelor s degree and the per capita personal income for a random
sample of states. Test the claim that states with a higher percentage of the population with at least
a bachelor's degree have a higher per capita personal income at the 0.05 level of significance.
Data
Percentage of Population with
atLeast a Bachelor's Degree
Per Capita Personal
Income (Dollars)
State
Arkansas
17.4
24,289
California
29.8
33,749
Iowa
24.6
29,043
Louisiana
22.3
26,100
Maine
23.7
28.831
Nebraska
26.8
30,758
Ohio
25.0
29,944
Oregon
26.4
29.340
Texas
24.7
29,372
Source: Statistical Abstract of the United States, 2004
Transcribed Image Text:It is common to think that the more education anindividual receives, the higher the person's income is likely to be. Does this idea translate to states? The following data represent the percentage of the population that has at least a bachelor s degree and the per capita personal income for a random sample of states. Test the claim that states with a higher percentage of the population with at least a bachelor's degree have a higher per capita personal income at the 0.05 level of significance. Data Percentage of Population with atLeast a Bachelor's Degree Per Capita Personal Income (Dollars) State Arkansas 17.4 24,289 California 29.8 33,749 Iowa 24.6 29,043 Louisiana 22.3 26,100 Maine 23.7 28.831 Nebraska 26.8 30,758 Ohio 25.0 29,944 Oregon 26.4 29.340 Texas 24.7 29,372 Source: Statistical Abstract of the United States, 2004
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