If We Used a 5% Level of Significance,how Would You

question 52

Multiple Choice

If we used a 5% level of significance,how would you define the rejection region for this test?

• A)z < -1.96 and z > 1.96
• B)z < -1.645
• C)z > 1.645
• D)z > 1.96
• E)z < -1.645 and z > 1.645

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Definitions:

Marginal Cost

The investment required to manufacture an additional unit of a product or service.

Nonrivalry

The idea that one person’s benefit from a certain good does not reduce the benefit available to others; a characteristic of a public good.

Nonexcludability

The inability to keep nonpayers (free riders) from obtaining benefits from a certain good; a characteristic of a public good.

Public Goods

Goods that are non-excludable and non-rivalrous, meaning their use by one person does not reduce availability to others.