In Exercise C.64 on page 454, we looked at differences in average housing price between two states

Question:

In Exercise C.64 on page 454, we looked at differences in average housing price between two states at a time with data from Homes- ForSale. We can now set up an ANOVA to test and see if there is a difference between all four states at once. We have a total of n = 120 homes from the k = 4 states.

(a) What are the null and alternative hypotheses?

(b) What is the degrees of freedom for Groups?

(d) Without looking at the data, which (groups or error) would you guess has a greater sum of squares?

Exercise C.64

The dataset HomesForSale has data on houses available for sale in three Mid- Atlantic states (NY, NJ, and PA) and California (CA). We are interested in the proportion of Mid- Atlantic houses that are larger than the mean US household size, which is approximately 2700 square feet. In the sample of 90 Mid-Atlantic homes for sale in HomesForSale, we see that 16 are larger then 2700 sqft.

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