Since 2007, the American Psychological Association has supported an annual nationwide survey to examine stress across the United States. A total of 360 Millennials (18- to 33-year-olds) were asked to indicate their average stress level (on a 10-point scale) during a month. The mean score was 5.4. Assume that the population standard deviation is 2.3.

(a) Give the margin of error for a 95% confidence interval. (Round your answer to three decimal places.)

Find the 95% confidence interval for this sample. (Round your answers to three decimal places.)

(b) Give the margin of error for a 99% confidence interval. (Round your answer to three decimal places.)

Find the 99% confidence interval for this sample. (Round your answers to three decimal places.)

3. Categories of expenditures Van and Amy Cho live in Swarthmore, PA. Their son, Carlos, owns his own plumbing business. For each of the following transactions that occur in their lives, identify whether it is included in the calculation of U.S. GDP as part of consumption (C), investment (I), government purchases (G), exports (X), or imports (M). Check all that apply. Transaction C I G X M Amy gets a new video camera made in the United States. The state of Pennsylvania repaves highway PA 320, which goes through the center of Swarthmore. Van buys a sweater made in Guatemala. Van's employer assigns him to provide consulting services to an Australian firm that's opening a manufacturing facility in China. Carlos buys a new set of tools to use in his plumbing business.

Answer all questions. Show all of your work. Turn in all relevant computer STATA printouts.

Problem 1 (20 points). Show work

Consider the following regression on the average miles per gallon achieved by a random sample of 500 automobiles:

            MPGi = 20.4 + 2.5 FOREIGNi – 3.1 WEIGHTi + 1.2 (FOREIGNi*WEIGHTi)

Where:

MPGi is the average miles per gallon achieved by the ith car

FOREIGNi is a dummy variable equal to 1 if the ith car is made outside the United States, zero otherwise.

WEIGHTi is the weight of the ith car, in thousands of pounds.

FOREIGNi*WEIGHTi is the interaction between FOREIGN and WEIGHT

a.   Interpret the meaning of the coefficient on FOREIGN*WEIGHT.

      b.   If the weight of a foreign car increases 3000 pounds, what is the change in miles per gallon?

It is thought that prehistoric Indians did not take their best tools, pottery, and household items when they visited higher elevations for their summer camps. It is hypothesized that archaeological sites tend to lose their cultural identity and specific cultural affiliation as the elevation of the site increases. Let x be the elevation (in thousands of feet) for an archaeological site in the southwestern United States. Let y be the percentage of unidentified artifacts (no specific cultural affiliation) at a given elevation. Suppose that the following data were obtained for a collection of archaeological sites in New Mexico: x 5.50 6.25 6.75 7.25 7.50 y 9 38 38 50 72 What percentage of the variation in y can be explained by the corresponding variation in x and the least-squares line?

Select one:

a. 89.9%

b. 10.1%

c. 94.8%

d. 0.3%

e. 1.0%

A Gallup Poll showed that 44% of Americans are satisfied with the way things are going in the United States. Suppose a sample of 25 Americans are selected.

Find the probability that no less than 7 Americans are satisfied with the way things are going.

Find the probability that exactly 15 Americans are not satisfied with the way things are going.

Find the probability that the number of Americans who are satisfied with the way things are going differs by greater than 2 from the mean.

Find the probability that greater than 7 Americans are satisfied with the way things are going.

Find the probability that at least 15 Americans are not satisfied with the way things are going.

Find the probability that no more than 9 Americans are satisfied with the way things are going.

Find the probability that more than 40% but at most 65% of these Americans are satisfied with the way things are going.

Round to 4 decimals.

Jess has agreed to purchase a house on 11th Street by July 2020 but only if she is able to sell her house on 15th Street by June 2020. This term is called a:

express condition

concurrent condition

condition subsequent

anticipatory condition

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In the United States, sources of law include:

Executive orders

laws passed by a state legislature

international common law

the U.S. Constitution

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The main purpose of contract remedies is to put the party who is not at fault in the same position they would have been in had the contract not been breached.

True/False

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Delaware is the most popular state to incorporate in because of:

favorable tax climate, including no sales tax

a specialized court for business disputes called the Court of Chancery

low incorporation fees

all of the above

Imagine that fully aware of the challenges to traditional modes of economic commerce presented by the COVID-19 virus and the ramping up of the inevitable political competition between the United States and China that currently threatens any previous cooperation between the two largest economies in the world you have created a strategy that includes the total exclusion of any production dependence on China by switching all to automated U.S. factories, low cost competitors to China (India, Indonesia, Mexico, etc.) you now need to implement this strategy in a way that excites both your workforce and your shareholders. Additionally, you want to lower costs and gain market share.

Question: What elements of your new strategy would require any difference in it implementation from your old strategy?

Which of the following is an example of what backs fiat money?

bartering arrangements

trust the public has that it can be exchanged for services and goods

precious metals such as silver

If the reserve requirement is 10 percent and a monetary expansion increases excess reserves by $5 million, the total change in the money supply after all rounds of

100 million

50 million

5 million

What is an example of a security?

Fiat money

Checking account

Credit cards

All over the globe commodities (e.g. corn, wheat, beans) are priced in United States dollars. This in economic terms, is an example of

flexible values.

store of value.

What will happen to the money supply if the Fed decreases the reserve requirement?

The money supply will decrease.

The money supply is unaffected by the reserve requirement.

The money supply will increase.

units of account.