Exercise 8.25 presents regression output from a model for predicting annual murders per million from percentage living in poverty based on a random sample of 20 metropolitan areas. The model output is also provided below.

(a) What are the hypotheses for evaluating whether poverty percentage is a significant predictor of murder rate?

(b) State the conclusion of the hypothesis test from part (a) in context of the data.

(c) Calculate a 95% confidence interval for the slope of poverty percentage and interpret it in context of the data.

(d) Do your results from the hypothesis test and the confidence interval agree? Explain.

Data from Exercise 8.25

The following regression output is for predicting annual murders per million from percentage living in poverty in a random sample of 20 metropolitan areas.

(Intercept) poverty% Estimate Std. Error -29.901 7.789 2.559 0.390 s = 5.512 R = 70.52% t value -3.839 6.562 Radj Pr(>t) 0.001 0.000 = 68.89%