Use the Sign Test to Test the Indicated Claim

question 51

Essay

Use the sign test to test the indicated claim. A researcher wishes to test whether a particular diet has an effect on blood pressure. The blood pressure of 25 randomly selected adults is
measured. After one month on the diet, each person's blood pressure is again measured. For
19 people, the second blood pressure reading was lower than the first, and for 6 people, the
second blood pressure reading was higher than the first. At the 0.01 significance level, test the
claim that the diet has an effect on blood pressure.

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Definitions:

Demanded

Refers to the desire of consumers to purchase a good or service, coupled with the capacity to pay for it, at a certain price level.

Producer Surplus

Producer Surplus is the difference between what producers are willing to sell a good for and the actual price they receive, representing profit.

Equilibrium

A state in a market where supply equals demand, meaning there is no excess of goods or shortage, and prices are stable.

Market

A system or arena where buyers and sellers interact to trade goods, services, or resources, often determined by supply and demand dynamics.