As input for a new inflation model, economists predicted that the average cost of a hypothetical “food basket” in east Tennessee in July would be $ XXXXXXXXXXThe standard deviation ( σ ) of basket...

As input for a new inflation model, economists predicted that the average cost of a hypothetical “food basket” in east Tennessee in July would be $145.75. The standard deviation (σ) of basket prices was assumed to be $9.50, a figure that has held fairly constant over the years. To check their prediction, a sample of twenty-five baskets representing different parts of the region were checked in late July, and the average cost was $149.75. Letα=0.05. Is the difference between the economists’ prediction and the sample mean statistically significant?