Regression, correlation, Year 2 hypothesis testing Flashcards
1
Q
y=ax^n
A
logy = loga + nlogx
2
Q
y=kb^x
A
logy = logk + xlogb
3
Q
PMCC and values for correlation
A
x > |0.7| = strong correlation
|0.4| < x < |0.7| = weak correlation
x < |0.4|= no correlation
4
Q
set up for correlation hypothesis test
10% significance level
PMCC calculated is 0.45
A
sample size = 30
H0: rho = 0 H1: rho not equal to 0
5% significance per tail
from table: r= -0.3061
-0.45 < -0.3061 (test statistic < cv)
enough evidence to reject H0
there is evidence, at 10% significance, that there is a correlation between _____