An Economist Is Interested in Studying the Incomes of Consumers

question 126

Multiple Choice

An economist is interested in studying the incomes of consumers in a particular region. The population standard deviation is known to be $1,000. A random sample of 50 individuals resulted in an average income of $15,000. What total sample size would the economist need to use for a 95% confidence interval if the width of the interval should not be more than $100?

• A) n = 385
• B) n = 1537
• C) n = 40
• D) n = 20

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Definitions:

Audience Segment

A subgroup of a larger audience distinguished by specific characteristics, such as demographics or behavioral patterns, allowing for targeted content or advertising.

Newspapers

Printed publications consisting of sheets of paper that contain news, articles, advertisements, and other information.

Years

Units of time consisting of 365 or 366 days, divided into 12 months, used as a measure of time passing and for historical timelines.

Power Elite Model

A theory in sociology that suggests power is concentrated in the hands of a small, elite group of people, institutions, and corporations.