A Trading Magazine Wants to Know If a Seminar on Self-Confidence

question 11

Essay

A trading magazine wants to know if a seminar on self-confidence helps stockbrokers to obtain new clients. Before and after the self-confidence seminar, 14 stockbrokers rated their self-confidence as low, neutral, or high. In comparing the before and after rankings, there was one plus sign and 13 negative signs for the sign test.
A) Specify the competing hypotheses to determine if there are differences in self-confidence before and after the seminar.
B) Assuming the proportion of plus signs follows a normal distribution, what is the value of the test statistic?
C) At the 1% significance level, what is the decision and conclusion?

• A) Specify the competing hypotheses to determine if there are differences in self-confidence before and after the seminar.
• B) Assuming the proportion of plus signs follows a normal distribution, what is the value of the test statistic?
• C) At the 1% significance level, what is the decision and conclusion?

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Definitions:

Federalism

A system of government where power is divided among a central authority and constituent territorial units.

Sovereignty

Sovereignty is the supreme power or authority of a state to govern itself or another state, free from external control.

Constitutionally Divided

A term referring to the separation of powers among the different branches of government as defined by a constitution.

Implied

Something suggested or indicated, though not expressly stated.