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Chapter 9: Q37E (page 552)
Define a comparison-wise error rate.
The probability of a Type I error set by the experimenter for evaluating each comparison is called the comparison-wise error rate.
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Contingent valuation of homes in contaminated areas. Contingent valuation (CV) is a method of estimating property values that uses survey responses from potential homeowners. CV surveys were employed to determine the impact of contamination on property values in the Journal of Real Estate Research (Vol. 27, 2005). Homeowners were randomly selected from each of seven states鈥擪entucky, Pennsylvania, Ohio, Alabama, Illinois, South Carolina, and Texas. Each homeowner was asked to estimate the property value of a home located in an area contaminated by petroleum leaking from underground storage tanks (LUST). The dependent variable of interest was the LUST discount percentage (i.e., the difference between the current home value and estimated LUST value as a percentage). The researchers were interested in comparing the mean LUST discount percentages across the seven states.
a. Give the null and alternative hypotheses of interest to the researchers.
b. An ANOVA summary table is shown below. Use the information provided to conduct the hypothesis test, part a. Use \(\alpha = 0.10\).
Identifying the type of experiment. Brief descriptions of a number of experiments are given next. Determine whether each is observational or designed and explain your reasoning.
a. An economist obtains the unemployment rate and gross state product for a sample of states over the past 10 years, with the objective of examining the relationship between the unemployment rate and the gross state product by census region.
b. A manager in a paper production facility installs one of three incentive programs in each of nine plants to determine the effect of each program on productivity.
c. A marketer of personal computers runs ads in each of four national publications for one quarter and keeps track of the number of sales that are attributable to each publication鈥檚 ad.
d. An electric utility engages a consultant to monitor the discharge from its smokestack on a monthly basis over a 1-year period to relate the level of sulfur dioxide in the discharge to the load on the facility鈥檚 generators.
e. Intrastate trucking rates are compared before and after governmental deregulation of prices changed, with the comparison also taking into account distance of haul, goods hauled, and the price of diesel fuel.
Define an experiment-wise error rate.
Robots trained to behave like ants. Robotic researchers investigated whether robots could be trained to behave like ants in an ant colony (Nature, August 2000). Robots were trained and randomly assigned to 鈥渃olonies鈥� (i.e., groups) consisting of 3, 6, 9, or 12 robots. The robots were assigned the task of foraging for 鈥渇ood鈥� and to recruit another robot when they identified a resource-rich area. One goal of the experiment was to compare the mean energy expended (per robot) of the four different colony sizes.
a. What type of experimental design was employed?
Use Tables V, VI, VII, and VIII in Appendix D to find each
of the following F-values:
a. F0.05,v1=4,v2=4
b. F0.01,v1=4,v2=4
c. F0.10,v1=30,v2=40
d. F0.025,v1=15,v2=12
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