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When Testing for a Difference Between the Means of a Treatment

question 9

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When testing for a difference between the means of a treatment group and a placebo group, the computer display below is obtained. Using a 0.05 significance level, is there sufficient evidence to support the claim that the treatment group (variable 1) comes from a population with a mean that is less than the mean for the placebo population? Explain.  t-Test: Two Sample for Means 1 Variable 1  Variable 2 2 Mean 65.1073866.182513 Known Variance 8.10293810.273874 Observations 50505 Hypothesized Mean Difference 06t1.7734177 P(T<=t) one-tail 0.03848 TCritical one-tail 1.6448539 P(T<=t) two-tail 0.076810 tCritical two-tail 1.959961\begin{array} { | l | l | l | l | } \hline & \text { t-Test: Two Sample for Means } & & \\\hline 1 & & \text { Variable 1 } & \text { Variable 2 } \\\hline 2 & \text { Mean } & 65.10738 & 66.18251 \\\hline 3 & \text { Known Variance } & 8.102938 & 10.27387 \\\hline 4 & \text { Observations } & 50 & 50 \\\hline 5 & \text { Hypothesized Mean Difference } & 0 & \\\hline 6 & \mathrm { t } & - 1.773417 & \\\hline 7 & \text { P(T<=t) one-tail } & 0.0384 & \\\hline 8 & \text { TCritical one-tail } & 1.644853 & \\\hline 9 & \text { P(T<=t) two-tail } & 0.0768 & \\\hline 10 & \text { tCritical two-tail } & 1.959961 & \\\hline\end{array}


Definitions:

Foreign Aid

Financial or in-kind assistance given by one country to another, often for humanitarian, development, or diplomatic reasons.

Interest Rates

Interest rates are the cost of borrowing money, typically expressed as a percentage of the amount borrowed, which lenders charge borrowers.

Repayment Periods

The duration of time within which a borrower is obligated to repay a loan or debt.

Country-to-Country Aid

Financial or material support given by one nation to another to help with development projects, disaster relief, or economic stabilization.

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