A One-Way Within-Groups ANOVA on 2 and 22 Degrees of Freedom

question 57

Multiple Choice

A one-way within-groups ANOVA on 2 and 22 degrees of freedom results in an F statistic of 3.64.What decision should be made about the hypothesis based on this statistic?

• A) Fail to reject the null hypothesis because the F statistic does not exceed the critical cutoff.
• B) Fail to reject the null hypothesis and conclude there is no effect of the independent variable.
• C) Reject the null hypothesis and conclude there are differences among the levels of the independent variable.
• D) Reject the null hypothesis and conclude the independent variable has no effect.

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Definitions:

Inelastic Demand

A situation where the demand for a product does not change significantly with a change in the price of that product.

Inferior Good

A type of good for which demand decreases as the income of the consumer increases, typically because consumers will choose higher quality substitutes when they can afford them.

Demand Curve

A graphical representation of the relationship between the price of a good or service and the quantity demanded for a given period, typically showing a downward slope from left to right.