Discuss the below:
5-Dec
Alaska American America West British Continental
7.74% 7.67% -0.89% -2.52% 4.12%
Delta JetBlue Northwest Southwest US Airways
4.45% 3.14% 4.84% 3.53% No Change
Estimate the variance of the percent change in airline stock
6-Dec
Alaska American America West British Continental
5.71% 5.54% 0.90% 1.08% 1.98%
Delta JetBlue Northwest Southwest US Airways
3.80% 1.25% 2.50% 0.74% 3.70%
Estimate the variance of the percent change in airline stock
Test all the null hypothesis that the variance of the change on December 5 is equal to the variance of the change in December 6 against the alternative hypothesis that the December 5 variance is greater, using an F test. What economic conclusions might you draw from the test result.