# Question: An economics student wishes to see if there is a

An economics student wishes to see if there is a relationship between the amount of state debt per capita and the amount of tax per capita at the state level. Based on the following data, can she or he conclude that per capita state debt and per capita state taxes are related? Both amounts are in dollars and represent five randomly selected states.

Perform the following steps.

a. Draw the scatter plot for the variables.

b. Compute the value of the correlation coefficient.

c. State the hypotheses.

d. Test the significance of the correlation coefficient at α = 0.05, using Table I.

e. Give a brief explanation of the type of relationship.

Perform the following steps.

a. Draw the scatter plot for the variables.

b. Compute the value of the correlation coefficient.

c. State the hypotheses.

d. Test the significance of the correlation coefficient at α = 0.05, using Table I.

e. Give a brief explanation of the type of relationship.

**View Solution:**## Answer to relevant Questions

A random sample of states yielded the following numbers of local school districts and the corresponding numbers of secondary schools. Is there a significant relationship between the data? Perform the following steps. a. Draw ...The number of faculty and the number of students are shown for a random selection of small colleges. Is there a significant relationship between the two variables? Switch x and y and repeat the process. Which do you think is ...One of the formulas for computing r is Using the data in Exercise 27, compute r with this formula. Compare the results. An emergency service wishes to see whether a relationship exists between the outside temperature and the number of emergency calls it receives for a 7-hour period. The data are shown. Temperature in degrees Fahrenheit and ...Is there a relationship between the number of farms in a state and the acreage per farm? A random selection of states across the country, both eastern and western, produced the following results. Can a relationship between ...Post your question