Data were gathered from a simple random sample of cities. The variables are Viol
ID: 3046342 • Letter: D
Question
Data were gathered from a simple random sample of cities. The variables are Violent Crime (crimes per 100,000 population), Police Officer Wage (mean $/hr), and Graduation Rate (%). Use the accompanying regression table to answer the following questions consider the coefficient of Graduation Rate. Complete parts a through e.
Dependent variable is: Violent Crime
R squaredequals=37.6% R squared (adjusted)equals=3
s=129.6 with 37 degrees of freedom
Variable
Coeff
SE (Coeff)
t-ratio
P-value
Intercept
1397.46
183.6
7.61
<0.0001
Police Officer Wage
9.47
44. 432
2.14 0.0393
Graduation Rate
16.59
2.800
.
5.93
<0.0001
b) What is the t-statistic corresponding to this test?
c) Why is the t-statistic negative?
a. The t-statistics negative because the coefficient has the smallest standard error
b. The t-statistics is negative because the coefficient is negative
c. The t-statistics is negative because the R squared is less than 50%
d. The t-statistics is negative because the R squared (adjusted) is less than 50%
d) What is the P-value corresponding to this t-statistic?
a. -0.672
b. 0.0393
c. 9.47
d. <0.0001
e) Test the null hypothesis (at =0.05) and state your conclusion.
a. Reject H0. There is sufficient evidence that the coefficient is different from 0.
b. Fail to reject H0. There is insufficient evidence that the coefficient is different from 0.
c. Reject H0. There is insufficient evidence that the coefficient is different from 0
d. Fail to reject H0. There is sufficient evidence that the coefficient is different from 0
m 0
Variable
Coeff
SE (Coeff)
t-ratio
P-value
Intercept
1397.46
183.6
7.61
<0.0001
Police Officer Wage
9.47
44. 432
2.14 0.0393
Graduation Rate
16.59
2.800
.
5.93
<0.0001
Explanation / Answer
b) What is the t-statistic corresponding to this test? -- -5.93
c) Why is the t-statistic negative? --b. The t-statistics is negative because the coefficient is negative
d) P-value corresponding to this t-statistic? -- d. <0.0001
e) e) Test the null hypothesis (at =0.05) and state your conclusion -- a. Reject H0. There is sufficient evidence that the coefficient is different from 0.
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