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In April of 2011,the Unemployment Rate in Canada Was Reported

Question 24

Multiple Choice

In April of 2011,the unemployment rate in Canada was reported to be 7.6%.Statistics Canada claims that the current unemployment rate is lower than that of April 2011.To test this claim,a hypothesis test is conducted and yields a P-value turns out to be 0.04.Provide an appropriate conclusion.


A) If the current unemployment rate is 7.6%,there is a 4% chance of seeing a sample unemployment rate as low (or lower) than what we observed from natural sampling variation.There is no evidence of that the unemployment rate decreased,but we cannot conclude there is no change in the unemployment rate.
B) There is a 4% chance of no change in the unemployment rate.
C) There is a 96% chance of no change in the unemployment rate.
D) We can say there is a 4% chance of seeing a change in the unemployment rate in the results we observed from natural sampling variation.We conclude that Statistics Canada is correct and the unemployment rate has decreased.
E) If the current unemployment rate is 7.6%,there is a 4% chance of seeing a sample unemployment rate as low (or lower) than what we observed from natural sampling variation.There is strong evidence that Statistics Canada is correct and the unemployment rate has decreased.

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