1. It has been noted that there is a positive correlation between the U.S. economy and the height of women's hemlines (distance from the floor of the bottom of a skirt or dress) with shorter skirts corresponding to economic growth and lower hemlines to periods of economic recession. Comment on the conclusion that economic factors cause hemlines to rise and fall. # of Absences (in weeks) Exam Grade 1 2 3 4 5 2 3 0 1 4 90 85 95 92 80
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- 9) The following results are from a regression where the dependent variable is GRADUATION RATE and the independent variables are % OF CLASSES UNDER 20, % OF CLASSES OF 50 OR MORE, STUDENT/FACULTY RATIO, ACCEPTANCE RATE, 1ST YEAR STUDENTS IN TOP 10% OF HS CLASS. The data were split into 2 samples and the following regression results were obtained from the split data. c) Based on a comparison of the two sets of output, does it appear that there is heteroscedasticity in the data set? Explain. Be sure to write down your null and alternative hypothesis, calculate the test statistic, and find your critical value (test at the 5% level of significance).Suppose a researcher believes that the occurrence of natural disasters such as earthquakes leads to increased activity in the construction industry. he decides to collect province-level data on employment in the construction industry of an earthquake-prone country, like Japan, and regress this variable on an indicator variable that equals 1 if an earthquake took place in that province in the last five years. a. Should the researcher include province fixed effects in order to control for location specific characteristics of the labor market? b. What can the researcher to control for the location effects?2. A scatterplot shows a strong, positive, linear relationship between the number of rebounds a basketball team averages and the number of wins that team records in a season. Which conclusion is most appropriate? (A) A team that increases its number of rebounds causes its chances of winning more games to increase. (B) If the residual plot shows no pattern, then it is safe to conclude that getting more rebounds causes more wins, on average. (C) If the residual plot shows no pattern, then it is safe to conclude that getting more wins causes more rebounds, on average. (D) If the r^2r2 value is close enough to 100%, then it is safe to conclude that getting more rebounds causes more wins, on average. (E) Rebounds and wins are positively correlated, but we cannot conclude that getting more rebounds causes more wins, on average.
- Recent publications have addressed the growing concern in the scientific community around the increased prevalence of CAT scans in children between the ages of 7-18 and the growing rate of childhood cancers. Suppose the researcher plans to gather a SRS from a group of children in this age range who have received one or more CAT scans, and a SRS from a group of children who have never received a CAT scan and compare the number of cases of childhood cancers that develop over a prolonged period of time. Assume the following table summarizes the descriptive statistics for his samples. Population Average cases of childhood cancers Standard deviaton Sample size >CAT scan 24.6 2.4 1,894 No CAT scans 11.4 1.9 2,745 A) Carry out the appropriate statistical test to answer the researcher’s hypothesis regarding the difference in average cases of childhood cancers in children aged 7-18 receiving one or more CAT scans versus those that have never received a CAT scan. Use an alpha level…9) The following results are from a regression where the dependent variable is GRADUATION RATE and the independent variables are % OF CLASSES UNDER 20, % OF CLASSES OF 50 OR MORE, STUDENT/FACULTY RATIO, ACCEPTANCE RATE, 1ST YEAR STUDENTS IN TOP 10% OF HS CLASS. The data were split into 2 samples and the following regression results were obtained from the split data. a) What is heteroscedasticity? (b) Why is heteroscedasticity a problem? c) Based on a comparison of the two sets of output, does it appear that there is heteroscedasticity in the data set? Explain. Be sure to write down your null and alternative hypothesis, calculate the test statistic, and find your critical value (test at the 5% level of significance).TRUE or False 1)Logistic regression cannot be employed when the dependent variable is binary. 2)In the average linkage clustering, the distance between two clusters is defined as the average of distances between all pairs of objects, where each pair is made up of one object from each group. 3)As Monte Carlo simulation is essentially statistical sampling, the larger the number of trials used, the more precise is the result. 4)Monte Carlo simulation is an inappropriate tool to analyze cash budgets because of the inherent uncertainty of the sales forecasts on which most cash budgets are based 5)Any solution that satisfies all constraints of a problem is called a feasible solution..
- Engro group, who recently sold its Engro foods start-up for a multi-million-rupees sum, islooking for another investment for fresh capital. It is considering an investment in coal (X) andsolar (Y) power plant. For that they had a collected data on 5 different characteristics. Amandahas applied k-means clustering to this data for k = 2. Given the following data:Table 5.1 Observations X Y 1 20 18 2 8 20 3 36 26 4 22 12 5 14 4 a) Which value of k is the most appropriate to categorize these investments? Justify yourchoice with calculations.b) The two cluster centers after the first round of execution. c) The final two clusters. d) Visually represent the clusters of both parts (b) and (c).Engro group, who recently sold its Engro foods start-up for a multi-million-rupees sum, is looking for another investment for fresh capital. It is considering an investment in coal (X) and solar (Y) power plant. For that they had a collected data on 5 different characteristics. Amanda has applied k-means clustering to this data for k = 2. Given the following data: Table 5.1 Observations X Y 1 20 18 2 8 20 3 36 26 4 22 12 5 14 4 Visually represent the clusters of both parts2.5 interpret the correlation coefficient calculate in question 2.4 above 2.6 Predict the number of policies written annually by an agent with 3 years of experience
- 4) the accompanying dataset provides data on monthly unemployment rates for a certain region over four years. Compare 3- and 12- month moving average forecast using the MAD criterion. Which of the two models yields better results? (See picture) Find the MAD for the 3 month moving average forcast. MAD = _____please answer 1 & 2 The National Highway Safety Administration recognizes that the antilock braking system as a revolutionary safety feature. The claim is that automobiles with this system are involved in fewer fatal crashes than those without. State the null and the alternative hypothesis to test this claim. An economist believes that there is a positive correlation between income and percent of disposable income saved by young adults. To test this, a sample of income and saving data is gathered from the Division of Taxation for adults under the age of 35. State the null and the alternative hypothesis to test this claim.Mr. William Profit is studying companies going public for the first time. He is particularly interested in the relationship between the size of the offering and the price per share. A sample of 15 companies that recently went public revealed the following information. Size Price Size Price ($ millions), per Share, ($ millions), per Share, Company x y Company x y 1 9.0 10.8 9 160.7 11.3 2 94.4 11.3 10 96.5 10.6 3 27.3 11.2 11 83.0 10.5 4 179.2 11.1 12 23.5 10.3 5 71.9 11.1 13 58.7 10.7 6 97.9 11.2 14 93.8 11.0 7 93.5 11.0 15 34.4 10.8 8 70.0 10.7 Click here for the Excel Data File a. Determine the regression equation. (Round your answers to 4 decimal places.) b-1. State the decision rule for 0.05 significance level: H0: β ≤ 0; H1: β > 0. (Round your answer to 3 decimal places.) b-2. Compute the value of the test statistic. (Round your…