Population Variances

Question

According to a high-profile realtor, houses in the sleepy town of Sun Beach have shown higher appreciation over the past three years than have houses in the bustling town of North Arden. To test the realtor’s claim, an economist has found fourteen recently sold homes in Sun Beach and fourteen recently sold homes in North Arden that were owned for exactly three years.

The following table gives the appreciation (expressed as a percentage increase) for each of the twenty-eight houses. Appreciation rates in percent

 Sun Beach   13.2;10.3;7.2;11.5;10.8;10.1;8.4;10.0;8.1;12.4;13.5;15.2;15.9;9.3

 North Arden   11.1;10.5;9.7;7.6;12.0;4.3;9.7;5.3;8.4;8.2;10.4;8.4;6.1;6.7   

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Assume that the two populations of appreciation rates are normally distributed and that the population variances are equal. Can we conclude, at the 0.05 level of significance, that houses in Sun Beach have higher appreciation over the past three years than houses in North Arden?     

 Perform a one-tailed test. Then fill in the table below.  Carry your intermediate computations to at least three decimal places and round your answers as specified in the table. (If necessary, consult a list of formulas.)  

Question

 Identify your sources of statistics  anxiety as you begin this course. Reflect on your thoughts, feelings,  and behaviors related to statistics. How can you minimize statistics  anxiety moving forward? 

250 words