Suppose you have observations from five different regions within your state and you wish to do hypothesis tests to compare the mean home value across groups. Using the Bonferroni Correction, what significance level should you use for each hypothesis test if you want an overall significance of 0.05? Round to the nearest thousandth.
A)0.005
B)0.050
C)0.010
D)None of these

Question

Quizplus · Accepted Answer

The Bonferroni Correction is used to adjust the significance level for multiple hypothesis tests to control the overall probability of a Type I error. In this case, we have five hypothesis tests, so the significance level for each test should be 0.05 / 5 = 0.01.

Suppose You Have Observations from Five Different Regions Within Your