Suppose for a paper in Professor Hughes' class, you collected
data on campaign expenditures by
incumbents and challengers in state legislative elections where the
race was competitive (i.e., the election
winner received less than 60% of the vote). The mean of campaign
expenditures (measured in $1,000s) by
the 51 challengers in these races is 156.0 with a standard
deviation of 24.0, while the mean of campaign
expenditures by the 51 incumbents is 162.5 with a standard
deviation of 18.0. Treating these as
independent random samples of all possible challengers and
incumbents in competitive state legislative
races, test the null hypothesis that population mean of challenger
campaign expenditures is greater than
the population mean of incumbent campaign expenditures.
Can you reject this null hypothesis at the 5% significance level?
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