Using State Data (N = 50)for the Year 2000,a Statistics

question 28

Essay

Using state data (n = 50)for the year 2000,a statistics student calculated a matrix of correlation coefficients for selected variables describing state averages on the two main scholastic aptitude tests (ACT and SAT).(a)In the spaces provided,write the two-tailed critical values of the correlation coefficient for α = .05 and α = .01 respectively.Show how you derived these critical values.(b)Mark with * all correlations that are significant at α = .05,and mark with ** those that are significant at α = .01.(c)Why might you expect a negative correlation between ACT% and SAT%? (d)Why might you expect a positive correlation between SATQ and SATV? Explain your reasoning.(e)Why is the matrix empty above the diagonal?

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Definitions:

Marginal Revenue

The additional income generated from selling one more unit of a good or service.

Cartel Success

The effectiveness of a cartel, a group of independent market participants who collude to raise prices and restrict output, in achieving its objectives of maximizing the profits of its members.

Differentiated Product

A good or service that is distinct from its competitors through variation in design, function, or quality.

Business Cycle

The fluctuations in economic activity that an economy experiences over a period of time, characterized by phases of growth (expansion) and decline (recession).