The US Bureau of Labor Statistics (Www

question 115

Multiple Choice

The U.S. Bureau of Labor Statistics (www.bls.gov) released its Consumer Expenditures report in October 2008. Among its findings is that average annual household spending on food at home was $3,624. Suppose a random sample of 137 households in Detroit was taken to determine whether the average annual expenditure on food at home was less for consumer units in Detroit than in the nation as a whole. The sample results are in the file Detroit Eats. Based on the sample results, can it be concluded at the α = 0.02 level of significance that average consumer-unit spending for food at home in Detroit is less than the national average?

• A) Because t = -13.2314 is less than the critical t value of -1.4126, do not reject H0. The annual average consumer unit spending for food at home in Detroit is not less than the 2006 national
• Consumer unit average
• B) Because t = -13.2314 is less than the critical t value of -1.4126, reject H0. The annual average consumer unit spending for food at home in Detroit is less than the 2006 national
• Consumer unit average
• C) Because t = -15.7648 is less than the critical t value of -2.0736, do not reject H0. The annual average consumer unit spending for food at home in Detroit is not less than the 2006 national
• Consumer unit average.
• D) Because t = -15.7648 is less than the critical t value of -2.0736, reject H0. The annual average consumer unit spending for food at home in Detroit is less than the 2006 national
• Consumer unit average.

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Definitions:

Vestibular Sense

The awareness of the balance, position, and movement of the head and body through space in relation to gravity’s pull.

Equilibrium

A state of physical balance or a stable situation in which all forces are equal.

Two-Point Threshold

The minimum distance at which two points of contact can be felt as two distinct stimuli.

Gestalt

A concept in psychology that emphasizes the idea that the whole of anything is greater than its parts, focusing on patterns and configurations in perceiving objects.