In: Math
You are testing the null hypothesis that there is no linear relationship between two variables, X and Y. From your sample of n=18, you determine that b1=4.4 and Sb1=1.3
a. What is the value of t stat?
b. At the a=0.05 level of significance, what are the critical values?
c. Based on your answers to (a) and (b), what statistical decision should you make?
d. Construct a 95% confidence interval estimate of the population slope,β1.
Solution:
Given:
Sample size = n = 18
b1=4.4 and Sb1=1.3
Part a. What is the value of t stat?
Part b. At the a=0.05 level of significance, what are the criticalvalues?
df = n - 2 = 18 - 2 = 16
Look in t table for df = 16 and two tail area = 0.05 and find t critical values.
t critical values = ( -2.120 , 2.120 )
Part c. Based on your answers to (a) and (b), what statistical decision should you make?
Since t test statistic value = 3.385 > t critical value = 2.120, we reject null hypothesis H0.
Thus there is significant linear relationship between two variables X and Y.
Part d. Construct a 95% confidence interval estimate of the population slope,β1.
Formula:
where
Thus
Thus a 95% confidence interval estimate of the population slope,β1 is between: