An Economist Is Interested in Studying the Incomes of Consumers

question 163

Multiple Choice

An economist is interested in studying the incomes of consumers in a particular country. The population standard deviation is known to be $1,000. A random sample of 50 individuals resulted in a mean income of $15,000. What total sample size would the economist need to use for a 95% confidence interval if the width of the interval should not be more than $100?

• A) n = 1537
• B) n = 385
• C) n = 40
• D) n = 20

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Definitions:

Federal Government

The national government of a federal country, which holds the authority to govern the entire nation, and its powers are usually outlined in the country's constitution.

Coordinator

An individual responsible for organizing activities and managing the flow of work in a project or event, ensuring that all components come together smoothly.

Overseer

An individual responsible for supervising and directing workers, especially in agricultural settings or on plantations.

United States

A federal republic located primarily in North America, consisting of 50 states, a federal district, five major self-governing territories, and various possessions.