Flonase is a nasal allergy treatment; like all drugs, it has side effects. Before approving it, the company (GlaxoSmithKline) performs a number of experiments to determine the drug’s side effects. In one such experiment, a random sample of 1,707 volunteers was drawn. Of these, 167 were given a 100-mcg dose once a day (1), 782 were given 200 mcg daily (2), and the remaining 758 were given a placebo spray once a day (3). Each person reported whether he or she had any side effects and, if so, which was the most serious. The following data were recorded. 1. Headache 2. Pharyngitis (sore throat) 3. Epistaxis (nosebleed) 4. Other side effect 5. No side effect Do these data allow us to infer that there are differences in side effects between the three groups of volunteers?
> 1. When detecting fraud, it is important that fraud investigators: a. Remain objective and neutral b. Assume guilt. c. Assume innocence. d. None of the above. 2. Data-driven fraud detection: a. Determines the cost of fraud. b. Identifies possible
> 1. Tailing includes the use of video, e-mail, wiretapping. and access to PCs. 2. Invigilation is a theft act investigative technique that involves close supervision of suspects during an examination period. 3. To get an accurate reading. it is genera
> 1. The fraud triangle plus inquiry paradigm is an effective way to understand the various types of fraud investigation methods. 2. One advantage of using a vulnerability chart is that it forces investigators to consider all aspects of a fraud 3. Elec
> 9. Embezzlement of assets reduces the left side of the accounting equation. To conceal the theft, the embezzler must find a way to reduce the right side of the accounting equation. A perpetrator would most likely reduce the right side of the equation by:
> 1. Which of the following methods of gathering documents is based primarily on luck? a. Documents discovered during audits. b. Hard-to-get private documents that are subpoenaed. c. Documents discovered through searching public sources. d. Documents p
> Television shows with large amounts of sex or violence tend to attract more viewers. Advertisers want large audiences, but they also want viewers to remember the brand names of their products. A study was undertaken to determine the effect that shows wit
> Refer to Exercise A17.9. Weight is a major factor that determines whether a person will need a hip or knee replacement and at what age. To learn more about the topic, a medical researcher randomly sampled individuals who had hip replacement 1code = 12 an
> Over one decade (1995–2005), the number of hip and knee replacement surgeries increased by 87%. Because the costs of hip and knee replacements are so expensive, private health-insurance and government-operated health-care plans have become more concerned
> Refer to Exercise A15.7. The financial analyst undertook another project wherein respondents were also asked the age of the head of the household. The choices are 1. Younger than 25 2. 25 to 34 3. 35 to 44 4. 45 to 54 5. 55 to 64 6. 65 and older The resp
> Mouth-to-mouth resuscitation has long been considered better than chest compression for people who have suffered a heart attack. To determine if this indeed is the better way, Japanese researchers analyzed 4, 068 adult patients who had cardiac arrest wit
> The U.S. National Endowment for the Arts conducts surveys of American adults to determine, among other things, their participation in various arts activities. A recent survey asked a random sample of American adults whether they participate in photograph
> Refer to Exercise 13.35. The executive did a further analysis by taking another random sample. This time she tracked the number of customers who have had an accident in the last 5 years. For each she recorded the total amount of repairs and the credit sc
> It is generally assumed that alcohol consumption tends to make drinkers more impulsive. However, a recent study in the journal Alcohol and Alcoholism may contradict this assumption. The study took a random sample of 76 male undergraduate students and div
> In an effort to explain the results of Exercise A15.9, a researcher recorded the distances for the random sample of British and American golf courses. Can we infer that British courses are shorter than American courses?
> Organizations that sponsor various leisure activities need to know the number of people who wish to participate. Bureaucrats need to know the number because many organizations apply for government grants to pay the costs. The U.S. National Endowment for
> Because shelf space is a limited resource for a retail store, product selection, shelf-space allocation, and shelf-space placement decisions must be made according to a careful analysis of profitability and inventory turnover. The manager of a chain of v
> Garlic has long been considered a remedy to ward off the common cold. A British researcher organized an experiment to see if this generally held belief is true. A random sample of 146 volunteers was recruited. Half the sample took one capsule of an allic
> One of the arguments put forth by advocates of lower tuition fees is that children of low or moderate income families will not be able to pay for a child’s university education. To examine this issue, a random sample of families whose children were at le
> How many golfers are there in the United States? A survey of American adults (age 18 and above) asked whether they had played golf at least once a month during the summer. The responses are 2 = yes and 1 = no. The survey also asked respondents to indicat
> What should be the priority of paramedics who respond to accidents? Should they treat the patients with their limited facilities or should they rush the victims to the nearest hospital (an approach known as “scoop and run”)? A research project begun in 1
> The high cost of medical care makes it imperative that hospitals operate efficiently and effectively. As part of a larger study, patients leaving a hospital were surveyed. They were asked how satisfied they were with the treatment they received. The resp
> Winter is the influenza season in North America. Each winter, thousands of elderly and sick people die from the flu and its attendant complications. Consequently, many elderly people receive flu shots in the fall. It has generally been accepted that youn
> Under the rules of Canada’s Employment Insurance (EI) plan, some workers can use EI repeatedly after working only a short time. The amount of time needed to qualify for EI varies by region and by occupation. In a study undertaken by researchers, regular
> Ever since the discovery of germs, parents have been telling their children to wash their hands. Common sense tells us that this should help minimize the spread of infectious diseases and lead to better health. A study reported in the University of Calif
> Scrabble is one of the oldest and most popular board games. It is played all over the world, and there is even an annual world championship competition. The game is played by forming words and placing them on the board to obtain the maximum number of poi
> In an attempt to learn more about traffic congestion in a large North American city, the number of cars passing through intersections was determined (National Post, October 18, 2006). The number of cars was counted in 5-minute samples throughout several
> A small but important part of a university library’s budget is the amount collected in fines on overdue books. Last year, a library collected $75,652.75 in fine payments; however, the head librarian suspects that some employees are not bothering to colle
> Obesity among children in North America is said to be at near-epidemic proportions. Some experts blame television for the problem, citing the statistic that children watch an average of 26 hours per week. During this time, children are not engaged in any
> How does dieting affect the brain? This question was addressed by researchers in Australia. The experiment used 40 middle-age women in Adelaide, Australia; half were on a diet and half were not (National Post, December 1, 2003). The mental arithmetic par
> The experiment to determine the effect of taking a preparatory course to improve SAT scores in Exercise A13.16 was criticized by other statisticians. They argued that the first test would provide a valuable learning experience that would produce a higher
> An analysis of the applicants of all MBA programs in North America reveals that the proportions of each type of undergraduate degree are as follows: Undergraduate Degree Proportion (%) BA (1) 50 BBA (2) 20 BSc (3) 15 BEng
> Summarize what you have discovered about the relationship between political philosophy and preference for government action in Exercises 16.146– 16.149. In particular, discuss the coefficients of determination.
> HELPSICK: Is it government’s responsibility to help pay for doctor and hospital bills? (1 = Government should help, 2, 3, 4, 5 = People should help themselves.)
> HELPNOT: Should government do more or less to solve country’s problems? (1 = Government should do more; 2, 3, 4, 5 = Government does too much.)
> HELPPOOR: Should government improve standard of living of poor people? (1 = Government act; 2, 3, 4, 5 = People should help themselves.)
> EQWLTH: Should government reduce income differences between rich and poor? (1 = Government should reduce differences; 2, 3, 4, 5, 6, 7 = No government action.)
> Do more educated individuals lean to the liberal end of the political philosophy spectrum? Conduct a test to determine whether there is enough evidence to conclude that as education (EDUC) increases the political philosophy score (POLVIEWS) decreases. Br
> Is there sufficient evidence to conclude that as income (RINCOME) rises people grow more conservative (POLVIEWS)? What is the p-value?
> Simco Inc. is a manufacturer that purchased a new piece of equipment designed to reduce costs. After several months of operation, the results were quite unsatisfactory. The operations manager believes that the problem lies with the machine’s operators, w
> As people grow older do they become more conservative? If so, there should be a positive linear relationship between age (AGE) and political philosophy (POLVIEWS). Use an appropriate statistical procedure to determine whether there is enough evidence to
> Discuss what assumption(s) is necessary to make the POLVIEWS spectrum responses an interval variable.
> Are more educated people (EDUC) more likely to believe that that compared to their parents at their age their standard of living is better (PARSOL: 1 = Much better, 2 = Somewhat better, 3 = About the same, 4 = Somewhat worse, 5 = Much worse)? Perform an
> Can we conclude from the data that more educated (EDUC) people are more likely to perceive themselves as healthier (HEALTH: 1 = Excellent, 2 = Good, 3 = Fair, 4 = Poor)?
> Can we infer from the data that jobs that are most secure (JOBLOSE: 1 =Very likely, 2 = Fairly likely, 3 = Not too likely, 4 = Not likely) are also the most satisfying (SATJOB: 1 = Very satisfied, 2 = Moderately satisfied, 3 = A little dissatisfied, 4 =
> Do the most satisfying jobs also produce the highest income? Test to determine whether there is enough evidence to infer that more satisfying jobs (SATJOB: 1 = Very satisfied, 2 = Moderately satisfied, 3 = A little dissatisfied, 4 = Very dissatisfied) ha
> Is there sufficient evidence to infer that more educated (EDUC) people read newspapers more often (NEWS: 1 = Every day, 2 = A few times per week, 3 = Once a week, 4 = Less than once a week, 5 = Never)?
> Do older Americans have a greater fear of losing their jobs? Test to determine whether there is enough evidence to conclude that as one gets older (AGE) the probability of losing one’s job ( JOBLOSE: 1 = Very likely, 2 = Fairly likely, 3 = Not too likely
> Are richer (RINCOME) Americans pessimistic about their children’s chances of having a higher standard of living (KIDSSOL: When your children are at your age will their standard of living be. . . 1. Much better, 2. Somewhat better, 3. About the same, 4. S
> Are richer people healthier? Conduct a test to determine whether there is enough evidence to infer that higher income (RINCOME) individuals are healthier (HEALTH: Would you say your own health, in general, is . . . 1. Excellent, 2. Good, 3. Fair, 4. Poor
> Does age (AGE) affect one’s belief concerning the federal income tax that one has to pay (TAX: Do you consider the amount of federal income tax that you have to pay as too high, about right, or too low: 1 = Too high, 2 = About right, 3 = Too low)?
> If one works longer hours (HRS1) does the chances of losing one’s job (JOBLOSE: 1 = Very likely, 2 = Fairly likely, 3 = Not too likely, 4 = Not likely) become less likely? Conduct a test to answer the question.
> Is it a myth that younger Americans do not read newspapers, choosing instead to get their news from the Internet or television (or not at all)? Conduct a test to determine whether there is sufficient statistical evidence to conclude that younger people (
> Pick any 1 (or more) of the 11 exercises above and briefly describe why the prediction interval is so wide.
> Refer to Exercise 16.65. Position on the issue of whether government should reduce income differences of someone who works 50 hours per week. Data from Exercise 16.65: Are harder-working Americans more likely to urge to want government to reduce income
> Refer to Exercise 16.64. Number of years of education of a person whose mother had 20 years of education. Data from Exercise 16.64: Is there sufficient evidence of a positive linear relationship between the years of education (EDUC) and the years of edu
> Refer to Exercise 16.63. Number of years of education of a person whose father had 15 years of education. Data from Exercise 16.63: Does the amount of education that one completes influence the amount of education his son or daughter completes? Test the
> Refer to Exercise 16.62. Number of children of a person with 11 years of education. Data from Exercise 16.62: We would expect that more educated people would have fewer children. Analyze the relationship between education (EDUC) and number of children (
> Refer to Exercise 16.59. Income of someone with one child. Data from Exercise 16.59: An economic theory suggests that as people become richer, they tend to have more children. Analyze the relationship between income (INCOME) and number of children (CHI
> Refer to Exercise 16.56. Total family income of a family with four earners. Data from Exercise 16.56: How does having more family members earning income (EARNRS) affect total family income (INCOME)? Conduct an analysis to determine whether there is a po
> The cost of taking an extra year to earn an MBA is quite high. To determine whether it is worthwhile, a BBA graduate surveyed 200 people who had either a BBA or an MBA and recorded their annual salary (in $1,000s) after 5 years of work. The student deter
> Refer to Exercise 16.55. Number of hours of television per day of a 65-year-old. Data from Exercise 16.55: Television advertisers always want to know who is watching their televised advertising. Do older people watch more television than do younger peop
> Refer to Exercise 16.54. Number of hours of t work per week for some who is 60 years old. Data from Exercise 16.54: Is there a linear relationship between age (AGE) and how many hours per week one works (HRS1)? Conduct a test to answer the question.
> Refer to Exercise 16.53. Income of someone who works 40 hours per week. Data from Exercise 16.53: It seems rather obvious that the longer one works the more one earns. The question is how much more one earns annually for each additional hour of work. Co
> Refer to Exercise 16.52. Number of hours of television watching per day for people with 12 years of education. Data from Exercise 16.52: Does television appeal to the lowest common denominator? If so, we would expect more educated people to watch less t
> Refer to Exercise 16.51. Annual income of someone who is 45 years old. Data from Exercise 16.51: Conduct an analysis of the relationship between income (RINCOME) and age (AGE). Estimate with 95% confidence the average increase in income for each additio
> How does educational attainment affect newspaper readership? Is there enough evidence to conclude that there are differences between the five educational attainment groups (DEGREE: Highest degree completed of respondent, spouse, father, mother: 0 = Left
> Are there differences between the races with respect to their perceptions of their health (HEALTH: Would you say your own health, in general, is . . . 1. Excellent, 2. Good, 3. Fair, 4. Poor)? Use an appropriate statistical technique to determine whether
> Can we infer from the data that liberals, moderates, and conservatives (POLVIEWS3: 1 = Liberal, 2 = Moderate, 3 = Conservative) differ in their views about the federal income tax that they have to pay (TAX: Do you consider the amount of federal income ta
> Is there enough statistical evidence to conclude that Democrats, Republicans, and Independents (PARTYID3: 1 = Democrat, 2 = Independent, 3 = Republican) differ in their views about the federal income tax that they have to pay (TAX: Do you consider the am
> Is there enough statistical evidence to infer that there are differences between the three race categories (RACE) with respect to how likely they are to lose their jobs (JOBLOSE: 1 = Very likely, 2 = Fairly likely, 3 = Not too likely, 4 = Not likely)?
> In Chapter 7, we showed that diversification reduces the risk associated with a portfolio of investments. (Most experts advise their clients that the portfolios should contain between 20 and 30 stocks scattered in different industries.) Do investors unde
> Do less-educated people believe that they have a higher probability of losing their job? Test to determine whether there is enough evidence to conclude that there are differences in perceived likelihood of losing their jobs ( JOBLOSE: 1 = Very likely, 2
> Are there differences between the five categories of marital status (MARITAL) with respect to health (HEALTH: 1 = Excellent, 2 = Good, 3 = Fair, 4 = Poor)? Conduct a statistical test to answer the question.
> Respondents were asked the following question, Compared to your parents at your age is your standard of living (PARSOL: 1 = Much better, 2 = Somewhat better, 3 = About the same, 4 = Somewhat worse, 5 = Much worse)? Test to determine whether we can infer
> Do more educated people derive more satisfaction from their jobs? Test to determine whether there are differences in job satisfaction (SATJOB: 1 = Very satisfied, 2 = Moderately satisfied, 3 = A little dissatisfied, 4 = Very dissatisfied) between the deg
> Do married couples typically have the same completed degrees? Conduct a test to determine whether there is enough evidence to conclude that married couples do not have the same degrees (DEGREE, SPDEG, Highest degree completed of respondent and spouse: 0
> The survey asked these two questions. 1. Compared to your parents at your age is your standard of living . . . (PARSOL: 1 = Much better, 2 = Somewhat better, 3 = About the same, 4 = Somewhat worse, 5= Much worse)? 2. When your children are at your age wi
> Are harder-working Americans more likely to urge to want government to reduce income differences? Test to determine whether there is sufficient evidence of a positive linear relationship between hours of work per week (HRS1) and position on whether gover
> Refer to Exercise 16.63. Is there sufficient evidence of a positive linear relationship between the years of education (EDUC) and the years of education of one’s mother (MAEDUC)? Data from Exercise 16.63: Does the amount of education that one completes
> Does the amount of education that one completes influence the amount of education his son or daughter completes? Test the relationship between a person’s education (EDUC) and his or her father’s education (PAEDUC).
> Refer to Exercise 16.61. We would expect that more educated people would have fewer children. Analyze the relationship between education (EDUC) and number of children (CHILDS). Data from Exercise 16.61: Does staying in university longer mean that postpon
> An important measure of the health of a nation’s economy is total debt. A Canadian survey asked a random sample of households how much money (in $1,000s) they owed. This includes mortgages, loans, and credit card debt. Assuming that there are 10 million
> Does staying in university longer mean that postpone having children? If so, we would expect a positive linear relationship between years of education (EDUC) and the age when one has his or her first child (AGEKDBORN). Test to determine whether there is
> If one spouse works longer hours does this mean that the other spouse also works longer hours? Test the relationship between HRS1 and SPHRS1 to answer the question.
> An economic theory suggests that as people become richer they tend to have more children. Analyze the relationship between income (INCOME) and number of children (CHILDS) to test the theory.
> Do more educated people tend to marry individuals with similar educational experience? Test to determine whether a married person’s years of education (EDUC) are positively linearly related to his or her spouse’s level of education (SPEDUC).
> Were Americans more optimistic about their children’s standard of living (KIDSSOL: When your children are at the age you are now, do you think their standard of living will be 1 = Much better, 2 = Somewhat better, 3 = About the same, 4 = Somewhat worse,
> Were Americans more worried about their chances of losing their jobs (JOBLOSE: 1 = Very likely, 2 = Fairly likely, 3 = Not too likely, 4 = Not likely) in 2012 than in 2014?
> Is there sufficient evidence to infer that Americans were healthier (HEALTH: 1 = Excellent, 2 = Good, 3 = Fair, 4 = Poor) in 2012 than in 2014?
> It is well known that on average women live about four years longer than men. However, are they healthier? Conduct a test to determine if women (SEX: 1 = Male, 2 = Female) consider themselves to be healthier than men (HEALTH: 1 = Excellent, 2 = Good, 3 =
> Can we infer that women are more likely than men to lose their jobs in the next 12 months (JOBLOSE: In the next 12 months how likely is it that you will lose your job or be laid off: 1 = Very likely, 2 = Fairly likely, 3 = Not too likely, 4 = Not likely)
> Refer to Exercise 17.20. a. Calculate the correlation between the independent variables. Does it indicate the presence of multicollinearity? Explain. b. Test the correlation between each independent variable and the dependent variable. Which independent
> Refer to Exercise A19.9. The economist also wanted to know whether there are differences in miles driven between cars, buses, and vans, pickups, and SUVs. Data from Exercise A19.9: The high price of gasoline is likely to lead to less travel. An economis
> Refer to Exercise 17.19. a. Calculate the correlation between the independent variables. Does it indicate the presence of multicollinearity? Explain b. Test the correlation between each independent variable and the dependent variable. Which independent
> Refer to Exercise 17.18. Calculate the correlation between the father’s and the mother’s years of education. Is there any sign of multicollinearity? Explain. Data from Exercise 17.18: How does the amount of education of one’s parents (PAEDUC, MAEDUC) af
> Refer to Exercise 17.21. a. Calculate the correlation matrix. b. Are there signs of the presence of multicollinearity? Explain. c. Test the correlation between each independent variable and the dependent variable. Which independent variables are linearly
> Refer to Exercise 17.24. Run a stepwise regression and report the differences between this regression and the one in Exercise 17.24. Data from Exercise 17.24: Repeat Exercise 17.23 for expenditures on food away from home (FOODAWAY).
> Refer to Exercise 17.21. Use stepwise regression to answer the question. Data from Exercise 17.21: What determines people’s opinion on the following question, Should the government improve the standard of living of poor people (HELPPOOR: 1 = Government
> Refer to Exercise 17.20. Use stepwise regression to calculate the equation. Data from Exercise 17.20: The Nielsen Ratings estimate the number of televisions tuned to various channels. However, television executives need more information. The General Soc
> Refer to Exercise 19.24. Is there sufficient evidence to infer that people who work for themselves (WRKSLF: 1 = Self-employed, 2 = Work for someone else) differ from those who work for someone else with respect to how they describe the federal income tax