Suppose as Part of a National Study of Economic Competitiveness

question 51

Multiple Choice

Suppose as part of a national study of economic competitiveness a marketing research firm randomly sampled 200 adults between the ages of 27 and 35 living in metropolitan Seattle and 180 adults between the ages of 27 and 35 living in metropolitan Minneapolis. Each adult selected in the sample was asked, among other things, whether they had a college degree. From the Seattle sample 66 adults answered yes and from the Minneapolis sample 63 adults answered yes when asked if they had a college degree. Based on the sample data, can we conclude that there is a difference between the population proportions of adults between the ages of 27 and 35 in the two cities with college degrees? Use a level of significance of 0.10 to conduct the appropriate hypothesis test.

• A) Since the test statistic, 1.8214, is greater than the critical value of 1.645, reject the null hypothesis and conclude that there is a higher proportion of Seattle adults that have a college degree
• B) Since the test statistic, 2.0112, is greater than the critical value of 1.645, reject the null hypothesis and conclude that there is a higher proportion of Seattle adults that have a college degree.
• C) Since the test statistic, 0.7001, is not greater than the critical value of 1.645, do not reject the null hypothesis and conclude that there is not a higher proportion of Seattle adults that have a college degree.
• D) Since the test statistic, 0.8921, is not greater than the critical value of 1.645, do not reject the null hypothesis and conclude that there is not a higher proportion of Seattle adults that have a college degree.

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Definitions:

Observable Human Behavior

Actions or reactions of individuals or groups that are visible and measurable, often studied in psychology and sociology to understand human social interaction.

Test Screenings

The previewing of a movie, TV show, or a new product to a selected audience before its general release to gather feedback and make improvements.

Tracking Studies

Continuous research methods used to monitor changes over time, often used in marketing to track brand performance or consumer attitudes.

Market Share

The portion of a market controlled by a particular company or product.