Question

Hotel room pricing changes over time, but is there a difference between Europe hotel prices and U.S. hotel prices? The file IntHotels contains changes in the hotel prices for 47 major European cities and 53 major U.S. cities.

(a) On the basis of the sample results, can we conclude that the mean change in hotel rates in Europe and the United States are different? Develop appropriate null and alternative hypotheses. (Let μ1 = the population mean change in hotel rates in Europe, and let μ2 = the population mean change in hotel rates in the United States. Enter != for ≠ as needed.)

H0:

Ha:

(b) Use α = 0.01. Calculate the test statistic. (Round your answer to three decimal places.) Calculate the p-value. (Round your answer to four decimal places.) p-value = What is your conclusion?

Reject H0. The mean change in hotel rates in Europe and the United States are not different.

Do not reject H0. The mean change in hotel rates in Europe and the United States are different.

Reject H0. The mean change in hotel rates in Europe and the United States are different.

Do not reject H0. The mean change in hotel rates in Europe and the United States are not different.

Data:

European CityChange in Hotel Costs U.S. CityChange in Hotel Costs

Ljubljana-0.009 Birmingham0.074

Geneva0.000 Pittsburgh0.089

Zagreb 0.060 Indianapolis-0.013

Stockholm0.041 Norfolk0.070

Tirana0.082 Boston0.077

Riga0.076 Winston-Salem0.074

Istanbul0.021 Stockton0.021

Bucharest0.073 Laredo0.024

Budapest0.045 Corpus Christi0.088

Minsk0.023 Portland0.020

Rome0.033 St. Paul0.061

Antwerp0.012 Memphis0.086

Reykjavik-0.002 Virginia Beach0.052

Düsseldorf0.044 Newark-0.001

Kraków0.071 Austin0.077

Frankfurt-0.002 San Francisco0.102

Vilnius0.057 Greensboro0.053

Timisora0.005 Nashville-Davidson0.030

Helsinki0.072 Chicago0.085

Odessa0.084 El Paso0.027

Pristina0.006 Omaha0.028

Tallin0.039 San Diego0.080

Banja Luka0.082 Madison0.105

Chisinau0.015 Fort Worth0.024

Belfast0.032 Cincinnati0.085

Zurich0.041 Tampa0.001

Copenhagen-0.005 Sacramento0.000

Bratislava0.020 Honolulu0.047

Ankara0.057 St. Petersburg0.096

Athens0.069 Lincoln0.006

Brussels0.059 Oakland0.082

Kryvy Rig0.073 St. Louis0.064

Volgograd0.038 Lubbock0.018

Novi Sad0.079 Wichita0.003

Belgrade-0.016 New York City0.043

Tblisi0.052 Orlando0.071

Zagreb-0.008 San Jose0.079

Sarajevo0.083 Atlanta0.000

St Petersburg0.071 Dallas0.106

Kiev0.012 Cleveland0.015

Glasgow-0.004 Tulsa0.102

Split0.055 Baton Rouge0.089

Sofia0.057 Jacksonville0.057

Amsterdam0.019 Minneapolis0.064

Skopje0.053 Detroit-0.001

Vilnius0.036 Los Angeles0.027

Essen0.055 Anchorage-0.021

Jersey 0.016

Washington0.035

Durham0.057

Phoenix0.010

Anaheim-0.011

Philadelphia0.020

Answer 1