Question

1.3 A friend tells you that economics majors are decidedly more intelligent than political science majors at BYU. To defend your honor, you collect data on the SAT scores of econ and political science majors to test this hypothesis. The data are displayed in a table below. You plug these data into STATA and conduct a t-test which yields the following results, also displayed below.

You show your friend these results and assert that there is no statistically significant difference between Econ and Poli Sci majors’ SAT scores. Your friend says that STATA is “computer magic” and still does not believe that there is no statistical difference between Econ and Poli Sci majors’ SAT scores. Explain in words and calculate the following parts of the STATA t-test output:

1.3.1 Explain in words (a sentence or two) the four numbers shown in the “difference” row of the table.

1.3.3 Explain in words what t = -0.3247 means.

1.3.4 Explain in words what “Ho: diff = 0” means.

1.3.5 Explain in words what “Ha: diff > 0” means.

1.3.6 Explain in words what “Pr(T > t) = 0.6248” means.

Answer 1