For Exercises 7.1 and 7.2, see page 360; for 7.3 and 7.4, see page 362; for 7.5 to 7.7, see page 365; for 7.8 and 7.9, see page 368; for 7.10 and 7.11, see page 371; and for 7.12 and 7.13, see page 372.

Question 7.13

7.13 Significance test for the average T-bill interest rate?

Consider data on the T-bill interest rate presented in Figure 1.29 (page 53). Would you feel comfortable applying the procedures in this case? Explain your answer.

7.13

Yes, although the data is strongly skewed, implies we can still use the t procedure.