Author Question: A chi-squared test of a contingency table with 6 degrees of freedom results in a test statistic 2 = ... (Read 145 times)

frankwu · **on:** Jun 24, 2018

A chi-squared test of a contingency table with 6 degrees of freedom results in a test statistic 2 = 13.58 . Using the 2 tables, the most accurate statement that can be made about the p-value for this test is that:
a. p-value > .10
b. p-value > .05
c. .05 < p-value < .10
d. .025 < p-value < .05

Question 2

What is meant by the expected payoff with perfect information (EPPI)?

welcom1000 · **Reply #1 on:** Jun 24, 2018

Answer to Question 1

D

Answer to Question 2

The EPPI is the maximum price that a decision maker should be willing to pay for perfect information if it were available. We compute the EPPI by multiplying the probability of each state of nature by the largest payoff associated with that state of nature, and then summing the products.