Use the Rank Correlation Coefficient to Test for a Correlation $\mathrm { r } _ { \mathrm { S } },$

question 66

Essay

Use the rank correlation coefficient to test for a correlation between the two variables.
-Given that the rank correlation coefficient, r $\mathrm { r } _ { \mathrm { S } },$ , for 33 pairs of data is 0.338, test the claim of
correlation between the two variables. Use a significance level of 0.01.

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Definitions:

Equilibrium

A condition where the supply and demand in the market are equal, leading to stable prices.

Marginal Product

The additional output that can be produced by adding one more unit of a specific input, holding all other inputs constant.

Value Of Marginal Product

describes the additional revenue generated from employing one more unit of input, such as labor or capital.

Wage Rate

The amount of compensation a worker receives per unit of time or per task performed, often expressed per hour or per piece.