Statistics: Hypothesis Testing – #394

Question: Diamond Significance. The correlation coefficients for the diamond data in Table 7.1 are r = 0.77 for the correlation between weight and price, and r = 0.163 for the correlation between color and price. Evaluate the statistical significance of these correlations. (Hint: Use the row in Table 7.3 for 20 data points, even though Table 7.1 actually has 23 data points.)


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