In Testing for Differences Between the Means of Two Independent $H _ { 0 } : \mu _ { 1 } - \mu _ { 2 } = 2$

question 155

Short Answer

In testing for differences between the means of two independent populations, the null hypothesis is: a) $H _ { 0 } : \mu _ { 1 } - \mu _ { 2 } = 2$ .
b) $H _ { 0 } : \mu _ { 1 } - \mu _ { 2 } = 0$ .
c) $H _ { 0 } : \mu _ { 1 } - \mu _ { 2 } > 0$ .
d) $H _ { 0 } : \mu _ { 1 } - \mu _ { 2 } < 2$ .

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Definitions:

Total Surplus

The total net benefit to society from the production and consumption of a good, equal to the sum of consumer surplus and producer surplus.

Consumer Surplus

The deviation between the full cost that consumers are willing and are financially suitable to pay for a product or service, and the cost they ultimately pay.

Individual Consumer Surplus

The net gain to an individual buyer from the purchase of a good; equal to the difference between the buyer’s willingness to pay and the price paid.

Selling Haircuts

The commercial activity of providing hair cutting and styling services to customers for a fee.