Introduction to Statistics and Data Analysis
5th Edition
ISBN: 9781305115347
Author: Roxy Peck; Chris Olsen; Jay L. Devore
Publisher: Brooks Cole
expand_more
expand_more
format_list_bulleted
Videos
Textbook Question
Chapter 11.4, Problem 58E
The paper “The Psychological Consequences of Money” (Science [2006]: 1154–1156) describes several experiments designed to investigate the way in which money can change behavior. In one experiment, participants completed one of two versions of a task in which they were given lists of five words and were asked to rearrange four of the words to create a sensible phrase. For one group, half of the 30 unscrambled phrases related to money, whereas the other half were phrases that were unrelated to money. For the second group (the control group), none of the 30 unscrambled phrases related to money. Participants were 44 students at Florida State University.
Participants received course credit and $2 for their participation. The following description of the experiment is from the paper:
Participants were randomly assigned to one of two conditions, in which they descrambled phrases that primed money or neutral concepts. Then participants completed some filler questionnaires, after which the experimenter told them that the experiment was finished and gave them a false debriefing. This step was done so that participants would not connect the donation opportunity to the experiment. As the experimenter exited the room, she mentioned that the lab was taking donations for the University Student Fund and that there was a box by the door if the participant wished to donate. Amount of money donated was the measure of helping. We found that participants primed with money donated significantly less money to the student fund than participants not primed with money [t(38) = 2.13, P< 0.05].
The paper also gave the following information on amount donated for the two experimental groups.
![Chapter 11.4, Problem 58E, The paper The Psychological Consequences of Money (Science [2006]: 11541156) describes several](https://content.bartleby.com/tbms-images/9781337793612/Chapter-11/images/93612-11.4-60e-question-digital_image_001.png)
- a. Explain why the random assignment of participants to experimental groups is important in this experiment.
- b. Use the given information to verify the values of the test statistic and degrees of freedom (38, given in parentheses just after the t in the quote from the paper) and the statement about the P-value. Assume that both
sample sizes are 22. - c. Do you think that use of the two-sample t test was appropriate in this situation? Hint: Are the assumptions required for the two-sample t test reasonable?
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solution
Students have asked these similar questions
Problem 3. Pricing a multi-stock option the Margrabe formula
The purpose of this problem is to price a swap option in a 2-stock model, similarly as
what we did in the example in the lectures. We consider a two-dimensional Brownian
motion given by W₁ = (W(¹), W(2)) on a probability space (Q, F,P). Two stock prices
are modeled by the following equations:
dX
=
dY₁ =
X₁ (rdt+
rdt+0₁dW!)
(²)),
Y₁ (rdt+dW+0zdW!"),
with Xo
xo and Yo =yo. This corresponds to the multi-stock model studied in class,
but with notation (X+, Y₁) instead of (S(1), S(2)). Given the model above, the measure
P is already the risk-neutral measure (Both stocks have rate of return r). We write
σ = 0₁+0%. We consider a swap option, which gives you the right, at time T, to
exchange one share of X for one share of Y. That is, the option has payoff
F=(Yr-XT).
(a) We first assume that r = 0 (for questions (a)-(f)). Write an explicit expression for
the process Xt.
Reminder before proceeding to question (b): Girsanov's theorem…
Problem 1. Multi-stock model
We consider a 2-stock model similar to the one studied in class. Namely, we consider
=
S(1)
S(2)
=
S(¹) exp (σ1B(1) + (M1 - 0/1 )
S(²) exp (02B(2) + (H₂-
M2
where (B(¹) ) +20 and (B(2) ) +≥o are two Brownian motions, with
t≥0
Cov (B(¹), B(2)) = p min{t, s}.
"
The purpose of this problem is to prove that there indeed exists a 2-dimensional Brownian
motion (W+)+20 (W(1), W(2))+20 such that
=
S(1)
S(2)
=
=
S(¹) exp (011W(¹) + (μ₁ - 01/1) t)
롱)
S(²) exp (021W (1) + 022W(2) + (112 - 03/01/12) t).
where σ11, 21, 22 are constants to be determined (as functions of σ1, σ2, p).
Hint: The constants will follow the formulas developed in the lectures.
(a) To show existence of (Ŵ+), first write the expression for both W. (¹) and W (2)
functions of (B(1), B(²)).
as
(b) Using the formulas obtained in (a), show that the process (WA) is actually a 2-
dimensional standard Brownian motion (i.e. show that each component is normal,
with mean 0, variance t, and that their…
The scores of 8 students on the midterm exam and final exam were as follows.
Student
Midterm
Final
Anderson
98
89
Bailey
88
74
Cruz
87
97
DeSana
85
79
Erickson
85
94
Francis
83
71
Gray
74
98
Harris
70
91
Find the value of the (Spearman's) rank correlation coefficient test statistic that would be used to test the claim of no correlation between midterm score and final exam score. Round your answer to 3 places after the decimal point, if necessary.
Test statistic: rs =
Chapter 11 Solutions
Introduction to Statistics and Data Analysis
Ch. 11.1 - Consider two populations for which 1 = 30, 1 = 2,...Ch. 11.1 - An individual can take either a scenic route to...Ch. 11.1 - Prob. 3ECh. 11.1 - Prob. 4ECh. 11.1 - The article Plugged In, but Tuned Out (USA TODAY,...Ch. 11.1 - Prob. 6ECh. 11.1 - Prob. 7ECh. 11.1 - The paper If Its Hard to Read, Its Hard to Do...Ch. 11.1 - Is injecting medical cement effective in reducing...Ch. 11.1 - Prob. 10E
Ch. 11.1 - Prob. 11ECh. 11.1 - The paper Mood Food: Chocolate and Depressive...Ch. 11.1 - Prob. 13ECh. 11.1 - Example 11.1 looked at a study comparing students...Ch. 11.1 - Prob. 15ECh. 11.1 - Prob. 16ECh. 11.1 - A newspaper story headline reads Gender Plays Part...Ch. 11.1 - Prob. 18ECh. 11.1 - Fumonisins are environmental toxins produced by a...Ch. 11.1 - A researcher at the Medical College of Virginia...Ch. 11.1 - Do certain behaviors result in a severe drain on...Ch. 11.2 - Suppose that you were interested in investigating...Ch. 11.2 - Head movement evaluations are important because...Ch. 11.2 - To determine if chocolate milk was as effective as...Ch. 11.2 - The humorous paper Will Humans Swim Faster or...Ch. 11.2 - The study described in the paper Marketing Actions...Ch. 11.2 - Prob. 27ECh. 11.2 - The paper Less Air Pollution Leads to Rapid...Ch. 11.2 - The paper The Truth About Lying in Online Dating...Ch. 11.2 - Prob. 30ECh. 11.2 - Prob. 31ECh. 11.2 - The paper Quantitative Assessment of Glenohumeral...Ch. 11.2 - Two proposed computer mouse designs were compared...Ch. 11.2 - Prob. 34ECh. 11.2 - Prob. 35ECh. 11.2 - The authors of the paper Ultrasound Techniques...Ch. 11.3 - Some people seem to believe that you can fix...Ch. 11.3 - Prob. 38ECh. 11.3 - After the 2010 earthquake in Haiti, many...Ch. 11.3 - Prob. 40ECh. 11.3 - The report Audience Insights: Communicating to...Ch. 11.3 - Prob. 42ECh. 11.3 - Prob. 43ECh. 11.3 - Prob. 44ECh. 11.3 - The article Fish Oil Staves Off Schizophrenia (USA...Ch. 11.3 - The report Young People Living on the Edge...Ch. 11.3 - Prob. 47ECh. 11.3 - Prob. 48ECh. 11.3 - Prob. 49ECh. 11.3 - Prob. 50ECh. 11.3 - Prob. 51ECh. 11.3 - The article Spray Flu Vaccine May Work Better Than...Ch. 11.3 - Prob. 53ECh. 11.3 - The following quote is from the article Canadians...Ch. 11.3 - Prob. 55ECh. 11.3 - Women diagnosed with breast cancer whose tumors...Ch. 11.3 - Prob. 57ECh. 11.4 - The paper The Psychological Consequences of Money...Ch. 11.4 - An experiment to determine if an online...Ch. 11.4 - The paper Ready or Not? Criteria for Marriage...Ch. 11 - Prob. 61CRCh. 11 - Prob. 62CRCh. 11 - A deficiency of the trace element selenium in the...Ch. 11 - Prob. 64CRCh. 11 - Prob. 65CRCh. 11 - In a study of a proposed treatment for diabetes...Ch. 11 - When a surgeon repairs injuries, sutures (stitched...Ch. 11 - Prob. 68CRCh. 11 - In a study of memory recall, eight students from a...Ch. 11 - As part of a study to determine the effects of...Ch. 11 - Prob. 71CRCh. 11 - Prob. 72CRCh. 11 - The article Truth and DARE: Tracking Drug...Ch. 11 - The article Softball Sliding Injuries (American...Ch. 11 - Prob. 75CRCh. 11 - Wayne Gretzky was one of ice hockeys most prolific...Ch. 11 - Heres one to sink your teeth into: The authors of...Ch. 11 - Prob. 78CRCh. 11 - Dentists make many people nervous. To see whether...Ch. 11 - Prob. 80CRCh. 11 - Prob. 81CRCh. 11 - Both surface soil and subsoil specimens were taken...
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, statistics and related others by exploring similar questions and additional content below.Similar questions
- Business discussarrow_forwardBusiness discussarrow_forwardI just need to know why this is wrong below: What is the test statistic W? W=5 (incorrect) and What is the p-value of this test? (p-value < 0.001-- incorrect) Use the Wilcoxon signed rank test to test the hypothesis that the median number of pages in the statistics books in the library from which the sample was taken is 400. A sample of 12 statistics books have the following numbers of pages pages 127 217 486 132 397 297 396 327 292 256 358 272 What is the sum of the negative ranks (W-)? 75 What is the sum of the positive ranks (W+)? 5What type of test is this? two tailedWhat is the test statistic W? 5 These are the critical values for a 1-tailed Wilcoxon Signed Rank test for n=12 Alpha Level 0.001 0.005 0.01 0.025 0.05 0.1 0.2 Critical Value 75 70 68 64 60 56 50 What is the p-value for this test? p-value < 0.001arrow_forward
- ons 12. A sociologist hypothesizes that the crime rate is higher in areas with higher poverty rate and lower median income. She col- lects data on the crime rate (crimes per 100,000 residents), the poverty rate (in %), and the median income (in $1,000s) from 41 New England cities. A portion of the regression results is shown in the following table. Standard Coefficients error t stat p-value Intercept -301.62 549.71 -0.55 0.5864 Poverty 53.16 14.22 3.74 0.0006 Income 4.95 8.26 0.60 0.5526 a. b. Are the signs as expected on the slope coefficients? Predict the crime rate in an area with a poverty rate of 20% and a median income of $50,000. 3. Using data from 50 workarrow_forward2. The owner of several used-car dealerships believes that the selling price of a used car can best be predicted using the car's age. He uses data on the recent selling price (in $) and age of 20 used sedans to estimate Price = Po + B₁Age + ε. A portion of the regression results is shown in the accompanying table. Standard Coefficients Intercept 21187.94 Error 733.42 t Stat p-value 28.89 1.56E-16 Age -1208.25 128.95 -9.37 2.41E-08 a. What is the estimate for B₁? Interpret this value. b. What is the sample regression equation? C. Predict the selling price of a 5-year-old sedan.arrow_forwardian income of $50,000. erty rate of 13. Using data from 50 workers, a researcher estimates Wage = Bo+B,Education + B₂Experience + B3Age+e, where Wage is the hourly wage rate and Education, Experience, and Age are the years of higher education, the years of experience, and the age of the worker, respectively. A portion of the regression results is shown in the following table. ni ogolloo bash 1 Standard Coefficients error t stat p-value Intercept 7.87 4.09 1.93 0.0603 Education 1.44 0.34 4.24 0.0001 Experience 0.45 0.14 3.16 0.0028 Age -0.01 0.08 -0.14 0.8920 a. Interpret the estimated coefficients for Education and Experience. b. Predict the hourly wage rate for a 30-year-old worker with four years of higher education and three years of experience.arrow_forward
- 1. If a firm spends more on advertising, is it likely to increase sales? Data on annual sales (in $100,000s) and advertising expenditures (in $10,000s) were collected for 20 firms in order to estimate the model Sales = Po + B₁Advertising + ε. A portion of the regression results is shown in the accompanying table. Intercept Advertising Standard Coefficients Error t Stat p-value -7.42 1.46 -5.09 7.66E-05 0.42 0.05 8.70 7.26E-08 a. Interpret the estimated slope coefficient. b. What is the sample regression equation? C. Predict the sales for a firm that spends $500,000 annually on advertising.arrow_forwardCan you help me solve problem 38 with steps im stuck.arrow_forwardHow do the samples hold up to the efficiency test? What percentages of the samples pass or fail the test? What would be the likelihood of having the following specific number of efficiency test failures in the next 300 processors tested? 1 failures, 5 failures, 10 failures and 20 failures.arrow_forward
- The battery temperatures are a major concern for us. Can you analyze and describe the sample data? What are the average and median temperatures? How much variability is there in the temperatures? Is there anything that stands out? Our engineers’ assumption is that the temperature data is normally distributed. If that is the case, what would be the likelihood that the Safety Zone temperature will exceed 5.15 degrees? What is the probability that the Safety Zone temperature will be less than 4.65 degrees? What is the actual percentage of samples that exceed 5.25 degrees or are less than 4.75 degrees? Is the manufacturing process producing units with stable Safety Zone temperatures? Can you check if there are any apparent changes in the temperature pattern? Are there any outliers? A closer look at the Z-scores should help you in this regard.arrow_forwardNeed help pleasearrow_forwardPlease conduct a step by step of these statistical tests on separate sheets of Microsoft Excel. If the calculations in Microsoft Excel are incorrect, the null and alternative hypotheses, as well as the conclusions drawn from them, will be meaningless and will not receive any points. 4. One-Way ANOVA: Analyze the customer satisfaction scores across four different product categories to determine if there is a significant difference in means. (Hints: The null can be about maintaining status-quo or no difference among groups) H0 = H1=arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
Holt Mcdougal Larson Pre-algebra: Student Edition...AlgebraISBN:9780547587776Author:HOLT MCDOUGALPublisher:HOLT MCDOUGAL
Holt Mcdougal Larson Pre-algebra: Student Edition...
Algebra
ISBN:9780547587776
Author:HOLT MCDOUGAL
Publisher:HOLT MCDOUGAL
Hypothesis Testing using Confidence Interval Approach; Author: BUM2413 Applied Statistics UMP;https://www.youtube.com/watch?v=Hq1l3e9pLyY;License: Standard YouTube License, CC-BY
Hypothesis Testing - Difference of Two Means - Student's -Distribution & Normal Distribution; Author: The Organic Chemistry Tutor;https://www.youtube.com/watch?v=UcZwyzwWU7o;License: Standard Youtube License