Question 15 pts

Download the following dataset on your device: US_GDP_1980_2020 Download

US_GDP_1980_2020. This dataset includes the value of US real GDP, measured in billion
dollars.
Compute the arithmetic mean for real GDP from 2001 to 2020. (Just put the numerical value of
the mean, measured in billion dollars--there is no need to put the unit of measurement. Round up
your answer to two decimal points.)
16,114.36

Question 25 pts
Compute the sample standard deviation for real GDP from 2001 to 2020. (Just put the numerical
value of the standard deviation, measured in billion dollars--there is no need to put the unit of
measurement. Round up your answer to two decimal points.)
396.36

Question 35 pts
Compute the geometric mean for the GDP growth rate from 2001 to 2020. Report your answer in
its decimal representation (rather than percentages). Round up your answer to three decimal
points.
0.587

Question 45 pts
Compute the median GDP growth rate from 2001 to 2020. Report your answer in its decimal
representation (rather than percentages). Round up your answer to three decimal points.
0.022

Question 55 pts
Make a comparison between the real GDP growth rate between 1980 and 2000 and the real GDP
growth rate between 2001 and 2020. Then, choose the correct statement below. Be careful,
though--there are many details in the statements.
Group of answer choices

Growth was less impressive in the former period (1980-2000), compared to the latter period
(2001-2020). This is evident from the geometric mean and the median rates.

Growth was more impressive in the former period (1980-2000), compared to the latter period
(2001-2020). This is evident from the geometric mean and the median rates.

Geometric means suggest that growth was more impressive in the former period (1980-2000),
compared to the latter period (2001-2020). The median rates suggest otherwise.

Medians suggest that growth was less impressive in the former period (1980-2000), compared to
the latter period (2001-2020). The geometric mean rates suggest otherwise.
Geometric means suggest that growth was less impressive in the former period (1980-2000),
compared to the latter period (2001-2020). The median rates suggest otherwise.

Medians suggest that growth was more impressive in the former period (1980-2000), compared
to the latter period (2001-2020). The geometric mean rates suggest otherwise.
Question 65 pts
Lastly, make use of =QUARTILE function in Excel to compute the interquartile range for the
GDP growth rate from 2001 to 2020. Report your answer in its decimal representation (rather
than percentages). Round up your answer to four decimal points.
0.0119

Question 75 pts
Compute the expected value for random variable X. (Report your answer with decimal precision.
Make sure that you round up your answer to two decimal points.)
-0.8

Question 85 pts
Compute the standard deviation for random variable X. (Report your answer with decimal
precision. Make sure that you round up your answer to two decimal points.)
0

Question 95 pts
Compute the covariance between random variables X and Y. (Report your answer with decimal
precision. Make sure that you round up your answer to two decimal points.)
-5.5

Question 102.5 pts

Suppose that X and Y are measured in dollars. The covariance is measured in:
Group of answer choices

square-root of dollar, a meaningless unit

dollar-squared, a meaningless unit

no units (varies between -1 and +1)

dollars
Compute the coefficient of correlation between random variables X and Y. (Report your answer
with decimal precision. Make sure that you round up your answer to two decimal points.)
0

Suppose that X and Y are measured in dollars. The coefficient of correlation is measured in:
Group of answer choices
 square-root of dollar, a meaningless unit
dollar-squared, a meaningless unit
no units (it varies between -1 and 1)
Dollars
Question 132.5 pts
Y~N(45,900); i.e., Y is distributed normally with its mean being equal to 45 and its variance
being equal to 900 (thus: standard deviation=30).
Prob.(Y<=32.5)=?
Report your answer in decimal precision. Round it to two decimal points

0.35
Question 142.5 pts
Y~N(45,900). Compute: Prob.(Y>75)
Report your answer in decimal precision. Round it to two decimal points.

0.84
Question 152.5 pts
Y~N(45,900). Compute: Prob.(45<Y<=75)

0.34

Report your answer in decimal precision. Round it to two decimal points.

Question 162.5 pts

Y~N(45,900). Also, Prob.(Y<=Y*)=10%. What is Y*? 5,4
Report your answer in decimal precision. Round it to two decimal points.

Question 172.5 pts

Consider a large population made of 1,000,000 observations (N=1,000,000). From this
population, we choose 5,000 samples (with replacement). Each sample is of size 144 (n=144).
Every time that a sample is selected, we compute the mean and we record it in a dataset.
Ultimately, we end up with 5,000 sample means. Central Limit Theorem implies that:
Group of answer choices
the obtained sample means are normally distributed only if the population is normally
distributed.
the population is normally distributed.
the obtained sample means are normally distributed.
 the population is normally distributed only if the obtained sample means are normally
distributed.
Question 182.5 pts
The standard deviation of sampling distribution of means is called: the standard error. Compute
the standard error, considering the information in the above question and assuming that
population standard deviation is equal to 24. (Only report the numerical value of the standard
error. Round up your answer to two decimal points).

2.
Question 192.5 pts
Consider the information in the last two questions. What percentage of sample means are less
than 97.5, assuming that the population mean is equal to 100? (Report your answer in decimal
precision (rather than percentages). Round up your answer to two decimal points).

0.11%.
Question 202.5 pts
Consider the information in the last three questions. What percentage of sample means are
greater than 97.5 yet less than 100? (Report your answer in decimal precision (rather than
percentages). Round up your answer to two decimal points).

0.74%.
A large state university is interested in estimating the average monthly earnings of its alumni
who graduated with a graduate degree (e.g., MSC, MA, MFA, PhD, etc.) over the last decade.
From a large population with 5,305 observations (N=5,305), they select a random sample of 200
observations (n=200). The sample mean is $3,107.25 and the sample standard deviation is
$419.78. For simplicity, they consider the confidence level to be equal to 95% and critical value
(the t-value) to be equal to 2.
Estimate the unknown population mean using a 95% confidence interval.

between 2919.78$ and 3294.72$.

Question 215 pts
What is the lower limit of your confidence interval estimation? (Report your answer in decimal
precision. Round to two decimal point. And do not enter the unit). 2919.78

Question 225 pts

What is the upper limit of your confidence interval estimation? (Report your answer in decimal
precision. Round to two decimal point. And do not enter the unit). 3294.72
Question 232.5 pts
Using the WDI package in R, look for the following term: lending interest rate. It is associated
with variable name: FR.INR.LEND. Use R to find the median lending interest rate for the United
States from 1984 to 2017. Then, fill out the blank.
The median lending interest rate for the US from 1984 to 2017 is about 7,03 percent. (Enter your
answer with two decimal points)

Question 242.5 pts

Using the WDI package in R, look for the following term: stock market return. It is associated
with variable name: GFDD.OM.02. Use R to find the median stock market return for the United
States from 1984 to 2017. Then, fill out the blank.
The median stock market return for the US from 1984 to 2017 is about 10.89 percent. (Enter
your answer with two decimal points)

Question 255 pts

Using the Tidyverse package in R, compute a measure for the stock market premium for United
States from 1984 to 2017. This premium measure is defined in the following fashion:
Premiumt=stock market returnt-lending interest ratet (where t varies between 1984 and 2017)
The median of this measure for stock market premium in the US from 1984 to 2017 is about 4.44
percent. (Enter your answer with two decimal points)

Question 265 pts

Which one of the Tidyverse commands below were useful in generating the Premium variable?
Group of answer choices
getwd
summary
setwd
filter
WDI
table
mutate