(See Solution) Since 1967 through 2008 the indicator has been correct 33 of 42 times. Assuming that this indicator is a random event with no predictive value,
Question: Since 1967 through 2008 the indicator has been correct 33 of 42 times. Assuming that this indicator is a random event with no predictive value, you would expect that the indicator would be correct 50% of the time.
- What is the probability that the indicator would be correct 33 or more times in 42 years?
- What does this tell you about the usefulness of this indicator?
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