Two Hundred People Were Asked If They Had Read a Book

question 130

Multiple Choice

Two hundred people were asked if they had read a book in the last month. The accompanying contingency table, cross-classified by age, is produced. The probability that a respondent read a book in the last month and is at least 30 years old is the closest to ________.

• A) 0.12.
• B) 0.33.
• C) 0.46.
• D) 0.88.

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Definitions:

Lag

Lag refers to a delay that occurs between the cause and effect of an economic policy or other measured variable in the analysis of data.

Income Effect

The change in an individual's or economy's income and how that change will affect the quantity demanded of a good or service.

Substitution Effect

The change in quantity demanded resulting from a change in the price of a good, making other goods more or less expensive relative.

Saving

The process of setting aside a portion of current income for future use or investment.