An economist wants to test whether mean house prices are associated with neighborhood air pollution.
Question: An economist wants to test whether mean house prices are associated with neighborhood air pollution. The economist randomly samples recent house purchases in three areas in which the prevailing air pollution levels are low, moderate and high. The sample yields the following price data:
Low Air Pollution | Moderate Air Pollution | High Air Pollution |
120 | 61 | 40 |
68 | 59 | 55 |
40 | 110 | 73 |
95 | 75 | 45 |
83 | 80 | 64 |
x1= 81.2 x2 =77.0 x3 =55.4
s1=29.8781 s2 =20.5061 s3 =13.5019
a) In symbols and words state the null and alternative hypotheses of this analysis.
b) Calculate the BSS, WSS, TSS, and their associated degrees of freedom.
c) Complete the ANOVA table for this analysis.
d) Based on your results what do you conclude about the association between neighborhood air pollution and house prices?
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See Solution: The solution consists of 4 pages
Deliverables: Word Document
Deliverables: Word Document
