Refer to the average annual baseball player salary data in the 2021 Major League Baseball data set.
Question:
Refer to the average annual baseball player salary data in the 2021 Major League Baseball data set. The data also include the CPI from 2010 to 2021. The CPI base is 1982 − 84 = 100.
Year | Annual Average Salary | CPI |
2010 | 3,297,828 | 218.056 |
2011 | 3,305,393 | 224.939 |
2012 | 3,440,000 | 229.594 |
2013 | 3,650,000 | 232.957 |
2014 | 3,950,000 | 236.736 |
2015 | 4,250,000 | 237.017 |
2016 | 4,380,000 | 240.007 |
2017 | 4,097,122 | 245.12 |
2018 | 4,095,686 | 251.107 |
2019 | 4,050,000 | 255.657 |
2020 | 3,890,000 | 258.811 |
2021 | 4,170,000 | 270.97 |
a. Develop a graph that shows the mean player salary from 2010 to 2021. What do you observe about the graph? Are the salaries increasing, decreasing, or staying the same over the period?
b. Using the annual CPI, adjust the mean salaries for each year between 2010 and 2021. Graph the adjusted mean annual player salaries. Are the adjusted salaries increasing, decreasing, or staying the same over the period? Compare this graph to the graph in part (a). Write a paragraph summarizing your findings. Cite specific evidence.
Step by Step Answer:
Statistical Techniques In Business And Economics
ISBN: 9781265779696
19th Edition
Authors: Douglas Lind, William Marchal, Samuel Wathen