A local city council’s study found that the correlation between number of liquor stores in a neighborhood and neighborhood crime rates across all city neighborhoods was r = 0.88.Which one of the following statements is true? As the number of liquor stores increase the crime rate will increase in that neighborhood. Closing liquor stores in a neighborhood will help to reduce the crime rate of that neighborhood. There is a pretty strong positive linear relationship between number of liquor stores and crime rates. Population is a possible lurking variable in this scenario, since areas that are more densely populated are more likely to have higher crime rates.
Question
A local city council’s study found that the correlation between number of liquor stores in a neighborhood and neighborhood crime rates across all city neighborhoods was r = 0.88.Which one of the following statements is true? As the number of liquor stores increase the crime rate will increase in that neighborhood. Closing liquor stores in a neighborhood will help to reduce the crime rate of that neighborhood. There is a pretty strong positive linear relationship between number of liquor stores and crime rates. Population is a possible lurking variable in this scenario, since areas that are more densely populated are more likely to have higher crime rates.
Solution
Based on the given information, we can make the following observations:
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The correlation coefficient (r) between the number of liquor stores in a neighborhood and the neighborhood crime rates is 0.88. This indicates a strong positive linear relationship between the two variables.
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The statement "As the number of liquor stores increase, the crime rate will increase in that neighborhood" is supported by the positive correlation coefficient. This suggests that there is a tendency for neighborhoods with more liquor stores to have higher crime rates.
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The statement "Closing liquor stores in a neighborhood will help to reduce the crime rate of that neighborhood" is not directly supported by the given information. While the correlation suggests a relationship between liquor stores and crime rates, it does not imply causation. Other factors may also contribute to the crime rates in a neighborhood.
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The statement "There is a pretty strong positive linear relationship between the number of liquor stores and crime rates" is supported by the high correlation coefficient of 0.88. This indicates that as the number of liquor stores increases, the crime rates tend to increase as well.
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The statement "Population is a possible lurking variable in this scenario, since areas that are more densely populated are more likely to have higher crime rates" is a valid consideration. It is possible that population density could be a confounding variable, meaning it could influence both the number of liquor stores and the crime rates in a neighborhood.
In conclusion, based on the given correlation coefficient, there is a strong positive linear relationship between the number of liquor stores and crime rates in the city neighborhoods. However, it is important to consider other factors and potential lurking variables before making definitive statements about causation or the effectiveness of closing liquor stores in reducing crime rates.
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