Chapter 8.2, Problem 8.20ACI

Producer willingness to supply biomass. The conversion of biomass to energy is critical for producing transportation fuels. How willing are producers to supply biomass products such as cereal straw, corn stover, and surplus hay? To answer this question, economists conducted a survey of producers in both mid-Missouri and southern Illinois (Biomass and Energy, Vol. 36, 2012). Independent samples of 431 Missouri producers and 508 Illinois producers participated in the survey. Each producer was asked to give the maximum proportion of hay produced that he or she would be willing to sell to the biomass market. Summary statistics for the two groups of producers are listed in the table. Does the mean amount of surplus that hay producers are willing to sell to the biomass market differ for the two areas, Missouri and Illinois? Use α = .05 to make the comparison.