The Organization for Economic Cooperation and Development (OECD) is a loose affiliation of 30 nations. The data in this scatterplot show the percentage of disposable income for a single citizen that remains after paying taxes versus the top personal income tax rate (also a percentage).
(a) Describe the association in the scatterplot.
(b) Does the association have the direction that you’d expect?
(c) Estimate the correlation between the two variables.
(d) The data for which country appears most unusual relative to the others? How does the correlation change if this country is set aside and excluded from the calculation? (It may help to think about the line associated with the correlation.)
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