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For each of the following situations choose the statistical model that you find to be the most appropriate. Justify your choice.
a) We are interested in assessing the effects of temperature (low, medium, and high) and technical configuration on the amount of waste output for a manufacturing plant. Suppose that we have randomly selected 5 technical configurations out of 100 configurations, and we want our conclusions to apply to all 100 configurations.
b) We are evaluating the association between the presence of a very rare adverse event (yes, no) and the treatment received (placebo, new drug) for a group of 100 patients. We want to be able to control for age (in years).
c) We are evaluating the effectiveness of five different diets with respect to weight loss. Fifty women were randomly assigned to each one of the five different diet regimens, and the weight loss during a one year period was recorded.
d) We are interested in evaluating the relationship between the levels of C-reactive protein and the body mass index for a sample of 1000 middle aged African-American women.
e) We are interested in comparing (on average) the housing prices (in thousands of dollars) for five specific locations within the same city. To allow for fair comparisons we will take into account the size of the house (in square feet) and the age of the house (in years).
Two students are sitting in a lecture and considering whether to ask a question from the professor (both of them are considering the same question). If they both ask, the questi
What does the confidence level of a confidence interval tell you? Suppose that a population has mean, µ, and standard deviation, σ. What does the central limit theorem tell us
Mode The mode is the value which occurs most frequently in a set of observations on the point of maximum frequency and around which other items of the set cluste
Factor analysis (FA) explains variability among observed random variables in terms of fewer unobserved random variables called factors. The observed variables are expressed in
Grid is the set of pairs {1, 2, 3, 4} x {1, 2, 3, 4}. Image is the power set of Grid. An element of Image is a subset of Grid and can be represented by a diagram on a 4 by 4
Modify your formulas from (1) to compute the price at time 0 of an American put option with the same contract specications in the binomial model. Report the price of the American
.1 Modern hotels and certain establishments make use of an electronic door lock system. To open a door an electronic card is inserted into a slot. A green light indicates that the
simplified formulae
Construct index numbers of price for the following data by applying: i) Laspeyre’s method ii) Paasche’s method iii) Fisher’s Ideal Index number
Main stages of Statistical Inquiry The following are the various stages of a statistical inquiry (1) Planning the Inquiry: First of all we have to assess the problem und
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