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Man's Best Friend The Humane Society reports that there are approximately 65 million dogs owned in the United States and that approximately in \(40 \%\) of all U.S. households own at least one dog. In a random sample of 300 households, 114 households said that they owned at least one dog. Does this data provide sufficient evidence to indicate that the proportion of households with at least one dog is different from that reported by the Humane Society? Test using \(\alpha=.05 .\)

Short Answer

Expert verified
Explain your answer. Answer: No, we cannot conclude that the true proportion of households owning at least one dog is different from 40%. The calculated test statistic (z = -1.84) falls between the two critical values (-1.96 and 1.96), which is not in either rejection region. Therefore, there is insufficient evidence to claim a significant difference between the proportion of households with at least one dog found in the sample and the 40% reported by the Humane Society.

Step by step solution

01

State the hypothesis

We start by stating our null and alternative hypotheses: Null Hypothesis (H0): The proportion of households with at least one dog is equal to 40% (\(p=0.40\)). Alternative Hypothesis (H1): The proportion of households with at least one dog is different from 40% (\(p\neq 0.40\)).
02

Identify the test statistic and significance level

We will use a z-test for a proportion to find out if there is enough evidence to reject the null hypothesis. We are given a significance level of \(\alpha=0.05\), which we will use to determine our critical values.
03

Calculate the test statistic

We can calculate the z-statistic using the formula: $$z = \frac{\hat{p}-p_0}{\sqrt{\frac{p_0(1-p_0)}{n}}}$$ where \(\hat{p}\) is the sample proportion, \(p_0\) is the population proportion given by the Humane Society, and \(n\) is the number of households sampled. In our case: \(\hat{p}=\frac{114}{300}=0.38\), \(p_0=0.40\), and \(n=300\) Now, we calculate the z-statistic: $$z = \frac{0.38-0.40}{\sqrt{\frac{0.40(1-0.40)}{300}}} = -1.84$$
04

Determine critical values and rejection regions

Since this is a two-tailed test, we will use the given significance level of \(\alpha=0.05\) to find the critical values. For a two-tailed test, we place half of the significance level in each tail, so we will look up \(0.025\) in the z-table which corresponds to critical values \(z_{\alpha/2}=-1.96\) and \(z_{1-\alpha/2}=1.96\). The rejection regions for our test are \(z<-1.96\) and \(z>1.96\).
05

Compare the test statistic to rejection regions and make a conclusion

The calculated test statistic is \(z=-1.84\), which falls between the two critical values, \(-1.96< z <1.96\). Since it is not in either rejection region, we fail to reject the null hypothesis. Conclusion: There is insufficient evidence to claim that there is a significant difference between the proportion of households with at least one dog found in the sample and the 40% reported by the Humane Society. So, we cannot conclude that the true proportion of households owning at least one dog is different from 40%.

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Key Concepts

These are the key concepts you need to understand to accurately answer the question.

Null and Alternative Hypotheses
When it comes to hypothesis testing in statistics, the null and alternative hypotheses are the foundation upon which we build our statistical inquiry. The null hypothesis, often denoted as H0, represents a statement of no effect or no difference. It is the assumption that any observed variation is due to chance or randomness rather than a specific cause.

In the given exercise, the null hypothesis posits that the proportion of households with at least one dog is equal to 40%, as reported by the Humane Society. On the flip side, the alternative hypothesis—denoted as H1 or Ha—is the statement we're trying to find evidence for. It claims that there is an effect or difference in the data. For this scenario, the alternative hypothesis suggests that the actual proportion of households with at least one dog is different from 40%.

Formulating clear hypotheses is crucial in guiding the direction of our analysis and in understanding what we are testing.
Z-test for Proportions
When we deal with proportions, such as the percentage of households owning at least one dog, we often utilize a z-test for proportions to determine if the observed proportion significantly differs from a known population proportion.

The z-test is a statistical method that assumes the sampling distribution of the proportion is normally distributed when the sample size is large enough. This is often stated using the Central Limit Theorem, which tells us that, with a sufficiently large sample size, the distribution of the sample mean will be approximately normal, regardless of the distribution of the population.

In the exercise, the sample size is 300 households, which is typically considered large enough for this approximation to be reasonable. The z-test will help us analyze whether the sample data provides sufficient evidence against the null hypothesis.
Significance Level
The significance level, denoted by \( \alpha \), is a threshold that determines when we reject the null hypothesis. It represents the probability of making a Type I error, which occurs if we wrongly reject the null hypothesis when it is actually true.

A commonly used significance level is \( \alpha=0.05 \), or 5%, which indicates that we have a 5% risk of concluding that a difference exists when there is none. Selecting a significance level before collecting data is a key step in hypothesis testing because it helps us avoid bias in our conclusions and ensures that we are measuring against a standard criterion.

The exercise uses a significance level of 0.05, which creates bounds for what we would consider statistically 'rare' results if the null hypothesis were true.
Critical Values
The critical values in hypothesis testing are the boundaries that help us determine whether to reject the null hypothesis. These values define the 'rejection region' or 'critical region' for a statistical test. If our test statistic falls within this region, we have grounds to reject the null hypothesis.

For a two-tailed test like the one in the exercise, critical values are based on the chosen significance level. Since we're working with \( \alpha=0.05 \) for a two-tailed test, we divide this significance level into two to find the critical values for both tails of the distribution, which correspond to the probability of \( \alpha/2 \) on each side.

In practice, we look these critical values up in a z-table or use a statistical software to find the corresponding z-scores for \( \alpha/2 \) and \(1 - \alpha/2 \) that define the rejection regions of the test.
Test Statistic Calculation
The test statistic is the result of a formula that measures the degree to which the observed sample statistic differs from what is stated in the null hypothesis. To calculate the test statistic in a z-test for proportions, we use part of our data and the following formula:$$z = \frac{\hat{p}-p_0}{\sqrt{\frac{p_0(1-p_0)}{n}}}$$where \( \hat{p} \) is the sample proportion, \( p_0 \) is the population proportion under the null hypothesis, and \( n \) is the sample size.

In the context of the exercise, after substituting the given numbers into the formula, we calculated the test statistic to be -1.84. This is compared to the critical values to determine whether the observed sample proportion is statistically significantly different from the hypothesized population proportion, guiding us toward a conclusion about the null hypothesis.

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Most popular questions from this chapter

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