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The distribution of income of families in the US in 1979 (in actual dollars uncorrected for in?ation) is shown in the table below (Prob 4.28):
Income level,x, (× $103 )
0-5
Percent of Population with income level, x 4
5-10
13
10-15
17
15-20
20
20-25
16
25-30
12
30-35
7
35-40
4
40-45
3
45-50
2
50-55
1
> 55
It has been postulated that the lognormal distribution is a reasonable model for this phenomenon. Carry out an appropriate test to con?rm or refute this postulate. Keep in mind that the data is not in raw form, but has already been "processed" into a frequency table. Interpret your results.
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