A neighborhood council is interested in the family income andmedical care expenditures of its community. In particular, it isbelieved that lower income is related to more to medical careexpenditures. Below are family income (per 1,000 dollars) andmedical care expenditure (per 100 dollars) data from a randomsample of households in the community. What can be concluded withan ? of 0.05?
| family income | medical care |
|---|
8
5
9
11
14
16
17
18
18
21 | 21
16
18
13
12
15
7
8
2
3 |
a) What is the appropriate statistic?
---Select--- na Correlation Slope Chi-Square
Compute the statistic selected above:
b) Compute the appropriate test statistic(s) tomake a decision about H0.
(Hint: Make sure to write down the null and alternative hypothesesto help solve the problem.)
critical value = ; test statistic =
Decision: ---Select--- Reject H0 Fail to reject H0
c) Compute the corresponding effect size(s) andindicate magnitude(s).
If not appropriate, input and/or select "na" below.
effect size = ; ---Select--- na trivialeffect small effect medium effect large effect
d) Make an interpretation based on theresults.
There was a significant positive relationship between familyincome and medical care expenditures.There was a significantnegative relationship between family income and medical careexpenditures. There was no significantrelationship between family income and medical careexpenditures.
