Question 1 Suppose you carry out a one-way ANOVA to test whether the mean sellin

Question

Question 1     
Suppose you carry out a one-way ANOVA to test whether the mean selling prices of houses in three cities are the same. The three-sample means are as follows:
City 1: $365,880
City 1: $365,900
City 1: $366,054

The p-value is 0.04.

Part (a)           
Are the differences between these means statistically significant? Justify your answer.

Part (b)           
Are the differences between these means of practical significance? Justify your answer.

Question 2     
The covariance between variables A and B is 14.73. The correlation coefficient between variables C and D is 0.78. Is it possible to tell which pair of variables is more strongly correlated? Explain your answer.

Question 3     
A researcher would like to find out what makes people decide to start a family. He notices that in many cases, people buy a car seat for infants and then just a few weeks later their baby is born. Hence he suggests that the act of buying a car seat causes women to have babies. Do you agree that such causation exists? Explain your answer.

Explanation / Answer

Question 1 The p - value = 0.04

(a) Here the differences between these means are statistically significant as p - value is less than 0.05.

(b) Here the difference between means are not practical significant because there is very less difference between means as compared to their actual value.

Question 2

Here covariance between variables A and B is 14.73 and correlation coefficient between variables C and D is 0.78.

So, we cannot tells that which pair of variables is more strongly correlated

as Covariance (A,B) = Corr (A, B) * A * B

so as we dont know the values of standard deviation of A and B so we can't compare these two values.

Question 3

No, we dont agree with such causation. As there may be correlation with act of buying car seat for child may have with women who are going to have baby. But, correlation doesn't men causation.

Related Questions

Navigate

• Browse (All)
• Browse Q
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.