Using the Data Given, Apply K-Means Clustering Using Price ($)

question 52

Essay

Using the data given, apply k-means clustering using Price ($) as the variable with k = 3. Be sure to Normalize input data, and specify 50 iterations and 10 random starts in Step 2 of the XLMiner k-Means Clustering procedure. Then create one distinct data set for each of the three resulting clusters of price.
a. For the observations composing the cluster with low home price, apply hierarchical clustering with Ward's method to form three clusters using Acres and Age as variables. Be sure to Normalize input data in Step 2 of the XLMiner Hierarchical Clustering procedure. Using a PivotTable on the data in HC_Clusters1, report the characteristics of each cluster.
b. For the observations composing the cluster with medium home price, apply hierarchical clustering with Ward's method to form three clusters using Acres and Age as variables. Be sure to Normalize input data in Step 2 of the XLMiner Hierarchical Clustering procedure. Using a PivotTable on the data in HC_Clusters1, report the characteristics of each cluster.
c. Comment on the cluster with high home price.

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Definitions:

Milgram Experiment

A psychological experiment conducted by Stanley Milgram in the 1960s to study obedience to authority, where participants were instructed to administer electric shocks to another person.

Stanford University Prison Experiment

A psychological study conducted by Philip Zimbardo in 1971 at Stanford University, where students were assigned roles of prisoners and guards to explore the effects of perceived power.

Generalization

Drawing a conclusion about a certain characteristic of a population based on a sample from it.

Logical Support

The provision of reasons or evidence to justify a claim or argument.