A Test of Abstract Reasoning Is Given to a Random $\overline { \mathrm { d } }$

question 1

Multiple Choice

A test of abstract reasoning is given to a random sample of students before and after they completed a formal logic course.The results are given below.Construct a 95% confidence interval for the mean difference between the before and after scores if $\overline { \mathrm { d } }$ (before - after) = 3.7 and sd = 4.945 $$\text { Before } \begin{array} { l l l l l l l l l } 74 & 83 & 75 & 88 & 84 & 63&93 & 84 & 91 & 77\end{array}$$ After 73 77 70 77 74 67 95 83 84 75

• A)(1.2,5.7)
• B)(0.2,7.2)
• C)(0.8,6.6)
• D)(1.0,6.4)
• E)(-4.4,11.8)

---

Definitions:

Multiplier Effect

The phenomenon where an initial change in spending leads to a greater overall change in income and output in the economy.

Business Activity

Collective commercial, industrial, or professional operations within an economy, indicative of its overall economic health.

MPC

Marginal Propensity to Consume, a measure in economics that indicates the proportion of additional income that a household is likely to spend on consumption rather than saving.

Full Employment GDP

Refers to the maximum level of output that an economy can produce without causing inflation, when unemployment is at its natural rate.