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. Population is a possible lurking variable in this scenario, since areas that are more densely populated are more likely to have higher crime rates. There is a pretty strong positive linear relationship between number of liquor stores and 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. Population is a possible lurking variable in this scenario, since areas that are more densely populated are more likely to have higher crime rates. There is a pretty strong positive linear relationship between number of liquor stores and crime rates.
Solution
Based on the given information, we can conclude that there is a strong positive linear relationship between the number of liquor stores and crime rates in the neighborhood. The correlation coefficient of 0.88 indicates a strong positive association between these two variables. Therefore, as the number of liquor stores increases, the crime rate in that neighborhood is likely to increase as well.
Additionally, it is important to consider the possible lurking variable of population density. Areas that are more densely populated tend to have higher crime rates. Therefore, it is possible that the correlation between liquor stores and crime rates is influenced by the population density of the neighborhoods.
In terms of reducing crime rates, closing liquor stores in a neighborhood may help to decrease the crime rate. However, it is important to note that this correlation does not imply causation. Other factors may also contribute to the crime rates in a neighborhood.
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