Use the Runs Test to Determine Whether the Given Sequence

question 107

Essay

Use the runs test to determine whether the given sequence is random. Use a significance level_
of 0.05. Test the sequence of digits below for randomness above and below the value of 4.5. $\begin{array}{llllllllll}0 & 4 & 7 & 3 & 6 & 0 & 9 & 7 & 4 & 8 \\7 & 2 & 8 & 5 & 7 & 3 & 9 & 6 & 4 & 6 \\4 & 7 & 9 & 1 & 6 & 1 & 9 & 5 & 8 & 3 \\7 & 8 & 5 & 7 & 3 & 5 & 2 & 9 & 3 & 8\end{array}$

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Definitions:

Regressive

Describes a tax structure where the tax rate decreases as the taxable amount increases, placing a higher relative burden on lower income earners.

Effective Average

A calculated mean intended to provide a more accurate or meaningful representation of a set of values, taking into account various factors.

Federal Taxes

Taxes collected by the national government, including income taxes and Social Security taxes.

Perfectly Elastic

Describes a situation where the quantity demanded or supplied responds infinitely or massively at a particular price level, often represented by a horizontal line on a graph.