One measure of the state of the economy is the amount of money homeowners pay on...

One measure of the state of the economy is the amount of money homeowners pay on their mortgage each month. To determine the extent of change between this year and 5 years ago, a random sample of 150 homeowners was drawn. The monthly mortgage payments for each homeowner for both this year and 5 years ago were recorded. Can we infer that mortgage payments, on average, have risen over the past 5 years?

State the appropriate hypotheses and decision rule, (use a .05 significance level)

This Year	5 years ago
613.21	783.31
551.66	498.33
633.4	560.8
703.02	745.84
1158.98	1135.76
1203.77	1342.59
958.4	1003.81
872.57	874.24
1086.69	886.97
692.15	760.52
785.58	819.59
1196.76	1127.73
705.87	614.28
380.99	318.21
964.1	769.98
1025.34	1030.62
726.33	593.46
700.16	731.64
847.21	885.72
767.43	813.06
858.47	732.88
966.11	922.84
501.64	428.1
921.37	801.76
747.42	558.12
993.44	1044.33
872.8	814.49
1006.41	981.71
957.56	862.93
927.7	981.66
791.51	829.34
926.52	937.86
916.45	1022.83
790.54	749.18
1026.06	1053.49
1071.33	1046.71
954.09	838.61
823.69	966.36
973.28	901.78
851.19	879.88
829.46	705.31
845.07	597.36
1150.59	817.73
865.7	687.39
992.31	1136.48
1105.74	1162.46
1098.17	1056.31
949.96	971.49
832.38	723.45
706.99	579.4
776.6	712.53
914.53	919.6
950.93	1000.64
844.96	943.07
1272.33	1177.34
1193.77	1260.44
1192.95	1029.59
889.18	932.37
785.99	891.97
794.99	786.56
1420.67	1359.69
769.54	716.6
905	1051.43
937.82	771.66
837.85	691.59
830.56	862.17
1006.75	1011.87
1014.53	970.39
859.22	740.95
844.19	837.66
653.69	713.55
1036.43	1083.54
936.32	993.66
1067.83	934.16
785.78	734.07
1289.97	1203.78
1019.45	1084
1154.34	1220.97
766	849.81
1064.63	1065.69
1107.34	986.74
1135.39	1038.17
969.32	924.85
679.52	759.79
1306.65	1319.13
882.13	703.69
1156.16	1285.66
1058.55	1130.93
987.55	901.81
1001.2	999.7
1015.94	1183.06
1071.57	1192.89
873.11	831.75
643.56	577.35
1056.94	903.02
882.3	967.83
1006.83	1101.75
835.93	857.67
1161.75	1224.46
1031.69	1102.14
1078.51	1210
692.49	724.34
820.46	824.06
1016.01	969.14
678.78	828.01
1082.32	1095.75
984.96	1006.39
1267.38	1461.02
1022.35	1012.31
753.21	724.78
915.33	959.13
1051.46	979.36
825.76	703.88
1058.28	990.9
891.43	888.71
768.28	882.81
830.71	949.45
1019.65	1041.31
1075.36	998.78
1043.12	929.16
1070.83	1022.38
1027.89	1099.14
1225.82	1170.87
889.68	903.36
735.47	826.83
727.6	588.44
423.58	447.92
1028.21	1188.22
978.63	1132.73
1249.64	1347.06
651.15	623.06
887.56	870.17
1265.12	1217.68
977.6	973.38
696.85	719.89
1009.77	884.88
1148.88	1116.76
989.87	912.95
1024.76	1140.64
825.51	933.2
1137.11	1036.84
934.07	829.58
1005.67	732.09
1164.36	1174.83
1160.31	1231.23
652.57	531.79
1290.54	1257.28
1184.99	1236.76
1132.33	1251.48
806.46	613.17

Expert Solution

milcah answered 9 months ago

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