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Asked Oct 22, 2019

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Data is collected on 30 adults to see if there is a correlation between age and amount donated to a political party. If r=0.98, atht e 0.05 level is there a correlation between age and donations? Show work.

Step 1

**Introduction:**

Suppose *ρ* is the true population correlation coefficient between two variables, and *r* is the observed sample correlation coefficient.

In order to test whether there is statistically significant correlation between the two variables, based on the sample observations, the null and alternative hypotheses are:

H0: *ρ* = 0, vs. H1: *ρ* ≠ 0.

The test statistic for the test is:

*t* = [*r* √ (*n* – 2)] / √ (1 ...

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