Statistics Marketing HomeworkI need this by Sunday

Read assignment before reaching out to me. 


Due: by Sunday 2 PM


You will have a link you must use information from that site.  Also for the assignment use 2010 is the best time frame

for the examples.






Rising Insurance Premium for the Northeast

You are a journalist for the New York Times. Your specialty is research.

Some reader’s have written you complaining that their health insurance premiums are going up while that is not the case for people living in the Midwest. Upon calling several insurance companies (at your reader’s prompting), you were told the same thing –

“Those residing in the Northeast compared to those residing in the Midwest live a more risky lifestyle in terms of alcohol consumption, driving habits, etc. As such their premiums unfortunately are going up while those living in the Midwest are not.”

You have decided to research this and write an article for the newspaper to either confirm or refute this claim by the insurance companies. You suspect they are not telling the whole story and that the cost difference is most likely a function of the higher cost of living in the Northeast.

Upon searching for various data sources to assist you in this effort, you ran across the Center for Disease Control’s “2010 Behavior Risk Factor Surveillance Survey.” This survey is conducted every 10 years and compiles the following information by state.




Current cigarette smokers


Overweight (based on government height weight formula


Sedentary lifestyle (less than three 20-minuted exercise sessions a week)


No leisure time activity off of the job


Binge drinking (five or more drinks on occasion)


Drinking and driving (after too much to drink)


Seat-belt use (occasionally or never)


U.S. State (alphanumeric)


Number of people surveyed

In this study you will note that about 1,000 people from each state were randomly chosen to estimate the true population percentages.

The file has been uploaded to blackboard. A printout of the dataset is attached. Please note that some data is missing for certain states and is denoted with an asterisk.

Your task:

1. First you will need to determine which states represent the Midwest and which represent the Northeast. You can find this information as defined by the U.S. government at the web address:

2. Once determined you will then need to weight together the survey percentages based on population estimates for each state for the northeast and again for the Midwest. Use the 2000 population estimates. You can find these population estimates at the web address:

3. Once all data is obtained and weighted together, you will then be ready to conduct some hypothesis tests to determine statistical significance. I suggest you create confidence intervals around the difference in percentages or averages. For example, you may want to determine if the percentage of those that binge drink is higher in the Northeast versus the Midwest and if so, is the difference statistically significant.

4. In addition to using the CDC data you are required to also add some census data on income (median income) and education (% with bachelors degree) to the mix. But you must confirm it makes sense by correlating these measures with the risky CDC behaviors at a state level. In other words, you will conduct a correlation analysis where you correlate the census median incomes and percent with a bachelors degree versus the CDC smoking and alcohol consumption percentages. Are they correlated and if so how?

5. Addiitonally read the lasted research on education on life expectancy. Google “Do Rich People Live Longer Harvard.” You may wish to cite portions of this study in your findings.

6. In addition, I want you to consider the cost of living differences for the NE states versus the Midwest states. Google “Money Magazine Cost of Living Calculator” to find a tool to help you conduct this portion of the analysis. The true reason as to why we in the NE pay more is simply because our cost of living is more. Is that true? What do these calculators suggest?

7. At this stage you will then be ready to create a final presentation. The presentations will need to display the raw data and findings in table and graph format using Excel. Be creative. (Hint: Perry loves presentations with nice backgrounds and graphics).

8. Your final report will be in Power Point format with no more than 15 slides.

9. Each Presentation must have at a minimum the following sections:

· Introduction

· Data Used and How Collected

· Analysis Steps

· Findings

· Conclusion

10. On the last class each person will present their findings.

Census Web Site Screen Shoot

1. This is where you will go. At this location you can get mini reports by state including population estimates, median income values, education levels, etc. It is a vast source of free information by state.

2. To find the map that defines what states represent Northeast versus the Midwest go to the PDF file located at:

2010 CDC Survey Data Regarding Behavior Risk

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