Chapter 3: Review of Statistics

Multiple Choice for the Web

1)

An estimator Y of the population value Y is consistent if

p

a. Y Y .
b. its mean square error is the smallest possible.
c. Y is normally distributed.
p

d.
2)

A type II error is
a.
b.
c.
d.

3)

typically smaller than the type I error.

the error you make when choosing type II or type I.
the error you make when not rejecting the null hypothesis when it is false.
cannot be calculated when the alternative hypothesis contains an =.

A large p-value implies

a.
b.
c.
d.

4)

rejection of the null hypothesis.

a large t-statistic.
a large Y act .
that the observed value Y act is consistent with the null hypothesis.

The power of the test

a.

is the probability that the test actually incorrectly rejects the null hypothesis
when the null is true.
depends on whether you use Y or Y 2 for the t-statistic.
is one minus the size of the test.
is the probability that the test correctly rejects the null when the alternative is
true.

b.
c.
d.

5)

Y 0.

The following statement about the sample correlation coefficient is true.

a. 1 rXY 1.
p

2
b. rXY
corr ( X i , Yi ) .

c. | rXY | 1 .
d. rXY

6)

2
s XY
.
s X2 sY2

When testing for differences of means, the t-statistic t

SE (Y m Y w )

Y m Y w
, where
SE (Y m Y w )

sm2 sw2

has
nm nw
a. a Student t distribution if the population distribution of Y is not
normal
b. a student t distribution if the population distribution of Y is normal
c. a normal distribution even in small samples
d. cannot be computed unless nm nw

7)

When testing for differences of means, you can base statistical inference on the
a. Student t distribution in general
b. normal distribution regardless of sample size
c. Student t distribution if the underlying population distribution of Y is normal, the
two groups have the same variances, and you use the pooled standard error formula
d. Chi-squared distribution with ( nm nw 2 ) degrees of freedom

8)

Assume that you have 125 observations on the height (H) and weight (W) of your peers
in college. Let sHW 68, sH 3.5, sw 68 . The sample correlation coefficient is
a.
b.
c.
d.

9)

1.22
0.50
0.67
Cannot be computed since males and females have not been separated out.

You have collected data on the average weekly amount of studying time (T) and grades
(G) from the peers at your college. Changing the measurement from minutes into hours
has the following effect on the correlation coefficient:
a. decreases the rTG by dividing the original correlation coefficient by 60
b. results in a higher rTG
2

c. cannot be computed since some students study less than an hour per week
d. does not change the rTG

10)

A low correlation coefficient implies that

a.
b.
c.
d.

the line always has a flat slope

in the scatterplot, the points fall quite far away from the line
the two variables are unrelated
you should use a tighter scale of the vertical and horizontal axis to bring the
observations closer to the line