Chapter 9.4, Problem 27E

The Employment and Training Administration reported that the U.S. mean unemployment insurance benefit was $238 per week (The World Almanac, 2003). A researcher in the state of Virginia anticipated that sample data would show evidence that the mean weekly unemployment insurance benefit in Virginia was below the national average.

1. a. Develop appropriate hypotheses such that rejection of H0 will support the researcher’s contention.
2. b. For a sample of 100 individuals, the sample mean weekly unemployment insurance benefit was $231 with a sample standard deviation of $80. What is the p-value?
3. c. At α = .05, what is your conclusion?
4. d. Repeat the preceding hypothesis test using the critical value approach.