Imagine you are hired by the California Avocado Commission to investigate how in-store advertising of Avocados affects organic avocado sales. The Avocado Commission partneredwith stores in Beverley Hills to advertise organic avocados in their produce section. They wantyou to run a regression of avocado sales on the amount of money spent on in-store advertising. Based on the results of the study, the are going to decide whether to expand this add campaignto the rest of the state. (a) Does this seem like a representative sample to you? Why or why not? If not, what can yousay with this data?
(b) Imagine the commission makes any changes to the data set you give above. Now do you thinkyou’re results will be causal? What may be some other variables you want to control for?
(c) Pretend you cannot get any of the variables you list above. Lets try tosign the bias. Chooseany one of the variables you list. Draw a Venn diagram like we did in class. Try to figure outwhat sign the bias will be.
(d) The Avocado Commission is worried about controlling for the distance from a store to thenearest farmer’s market. They want you to include the distance to the nearest farmer’smarket. One person on The Commission points out that there are a lot of families whovisit California from other countries. He suggests including both the distance to the nearestfarmer’s market in milesandin kilometers because the people from outside of the U. S. willthink of the distance in kilometers. Do you think this is a good idea? Why or why not?Explain any technicalities that help support your answer.