Angela Chou Has Been Asked to Investigate the Determinants of Poverty

question 127

Multiple Choice

Angela Chou has been asked to investigate the determinants of poverty in Ontario communities.
She collected data on 60 communities from Statistics Canada. She selected the percentage of poor
Persons living under the poverty line [Poor (%) ], measured by Low Income Cut-Off, and designed by
Statistics Canada as a measure of poverty for a community, as the dependent variable. The
Independent variables selected are percent of single families in each community, the
Unemployment rate in each community, percent of population in the community holding a bachelor's
Degree as their highest level of education attained, and percent of population holding a High
School Diploma as their highest level of education attained. Using the output below, determine
Which variable Angela should consider deleting.

• A) It doesn't matter which she uses, the results are virtually the same in any case.
• B) Angela should delete the high school information, because the P-value is over 0.05.
• C) Angela should delete the bachelor's degree information, because the P-value is close to 0.05.
• D) Angela should delete the unemployment rate information because the P-value is 0.00.
• E) Angela should exclude the single-family and unemployment information because the P- value values are 0.

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Definitions:

Finance Charge

The fee that the seller charges for the privilege of buying on credit.

Previous Balance

The amount of money that was in an account or owed at the end of the last billing cycle.

Cycle Closing

The process of finalizing all transactions at the end of an accounting period to prepare for financial reporting.

Finance Charge

The total cost, including interest and other fees, associated with borrowing money or extending credit.