If an economist wishes to determine whether there is evidence that average family income in a community near Seattle exceeds $125,000. An appropriate alternative hypothesis is:
A) μ = 125,000.
B) μ 125,000.
C) μ ≤ 125,000.
D) μ ≥ 125,000.

Question

If an economist wishes to determine whether there is evidence that average family income in a community near Seattle exceeds $125,000. An appropriate alternative hypothesis is:
A) μ = 125,000.
B) μ > 125,000.
C) μ ≤ 125,000.
D) μ ≥ 125,000.

Quizplus · Accepted Answer

The alternative hypothesis (denoted as H1 or Ha) is a statement that contradicts the null hypothesis and is what the researcher aims to provide evidence for. In this case, since the economist wants to determine if the average family income exceeds $125,000, the appropriate alternative hypothesis is "μ > 125,000," which directly addresses the research question.

If an Economist Wishes to Determine Whether There Is Evidence