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  3. we are interested to see whether the level of the

We are interested to see whether the level of the minimum wage affects employment. In order...

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Statistics

We are interested to see whether thelevel of the minimum wage affects employment. In order to studythis issue they got data from a random sample of 330 Californiafast food restaurants before and after an increase in theCalifornian minimum wage from $3.30 to $4.10 per hour. The changein full time equivalent employees per restaurant in the samplebefore and after the increase was 0.8 with a variance of 77.5.

Test whether this suggests the increase in the minimum wage hadan effect on employment.

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