Question: 4.22 Coffee and deforestation. Coffee is a leading export from several developing countries. When coffee prices are high, farmers often clear forest to plant more

4.22 Coffee and deforestation. Coffee is a leading export from several developing countries. When coffee prices are high, farmers often clear forest to plant more coffee trees. Here are five years of data on prices paid to coffee growers in In donesia and the percent of forest area lost in a national park that lies in a coffee-producing region:^

Price (cents per pound) j 29 40 54 55 72 Forest lost (percent) : 0.49 1.59 1.69 1.82 3,10

(a) Make a scatterplot. Which is the explanatory variable?

What kind of pattern does your plot show?

(h) Find the correlation r between coffee price and forest loss.

Do your scatterplot and correlation support the idea that higher coffee prices increase the loss of forest?

(c) The price of coffee in international trade is given in dol lars and cents. If the prices in the data were translated into the equivalent prices in euros, would the correlation between coffee price and percent of forest loss change? Explain your answer.

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