Chapter 10: Problem 1
Briefly explain the meaning of independent and dependent samples. Give one example of each.
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Chapter 10: Problem 1
Briefly explain the meaning of independent and dependent samples. Give one example of each.
These are the key concepts you need to understand to accurately answer the question.
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Using data from the U.S. Census Bureau and other sources, www.nerdwallet.com estimated that considering only the households with credit card debts, the average credit card debt for U.S. households was \(\$ 15,523\) in 2014 and \(\$ 15,242\) in 2013 . Suppose that these estimates were based on random samples of 600 households with credit card debts in 2014 and 700 households with credit card debts in 2013 . Suppose that the sample standard deviations for these two samples were \(\$ 3870\) and \(\$ 3764\), respectively. Assume that the standard deviations for the two populations are unknown but equal. a. Let \(\mu_{1}\) and \(\mu_{2}\) be the average credit card debts for all such households for the years 2014 and 2013 , respectively. What is the point estimate of \(\mu_{1}-\mu_{2}\) ? b. Construct a \(98 \%\) confidence interval for \(\mu_{1}-\mu_{2}\). c. Using a \(1 \%\) significance level, can you conclude that the average credit card debt for such households was higher in 2014 than in \(2013 ?\) Use both the \(p\) -value and the critical-value approaches to make this test.
A consulting agency was asked by a large insurance company to investigate if business majors were better salespersons than those with other majors. A sample of 20 salespersons with a business degree showed that they sold an average of 11 insurance policies per week. Another sample of 25 salespersons with a degree other than business showed that they sold an average of 9 insurance policies per week. Assume that the two populations are approximately normally distributed with population standard deviations of \(1.80\) and \(1.35\) policies per week, respectively. a. Construct a \(99 \%\) confidence interval for the difference between the two population means. b. Using a \(1 \%\) significance level, can you conclude that persons with a business degree are better salespersons than those who have a degree in another area?
The Pew Research Center conducted a poll in January 2014 of online adults who use social networking sites. According to this poll, \(89 \%\) of the \(18-29\) year olds and \(82 \%\) of the \(30-49\) year olds who are online use social networking sites (www.pewinternet.org). Suppose that this survey included 562 online adults in the \(18-29\) age group and 624 in the \(30-49\) age group. a. Let \(p_{1}\) and \(p_{2}\) be the proportion of all online adults in the age groups \(18-29\) and \(30-49\), respectively, who use social networking sites. Construct a \(95 \%\) confidence interval for \(p_{1}-p_{2}\) b. Using a \(1 \%\) significance level, can you conclude that \(p_{1}\) is different from \(p_{2} ?\) Use both the critical-value and the \(p\) -value approaches.
We wish to estimate the difference between the mean scores on a standardized test of students taught by Instructors \(\mathrm{A}\) and \(\mathrm{B}\). The scores of all students taught by Instructor A have a normal distribution with a standard deviation of 15, and the scores of all students taught by Instructor \(\mathrm{B}\) have a normal distribution with a standard deviation of \(10 .\) To estimate the difference between the two means, you decide that the same number of students from each instructor's class should be observed. a. Assuming that the sample size is the same for each instructor's class, how large a sample should be taken from each class to estimate the difference between the mean scores of the two populations to within 5 points with \(90 \%\) confidence? b. Suppose that samples of the size computed in part a will be selected in order to test for the difference between the two population mean scores using a .05 level of significance. How large does the difference between the two sample means have to be for you to conclude that the two population means are different? c. Explain why a paired-samples design would be inappropriate for comparing the scores of Instructor A versus Instructor \(\mathrm{B}\).
An economist was interested in studying the impact of the recession of a few years ago on dining out, including drive-through meals at fast-food restaurants. A random sample of 48 families of four with discretionary incomes between \(\$ 300\) and \(\$ 400\) per week indicated that they reduced their spending on dining out by an average of \(\$ 31.47\) per week, with a sample standard deviation of \(\$ 10.95 .\) Another random sample of 42 families of five with discretionary incomes between \(\$ 300\) and \(\$ 400\) per week reduced their spending on dining out by an average of \(\$ 35.28\) per week, with a sample standard deviation of \(\$ 12.37\). (Note that the two groups of families are differentiated by the number of family members.) Assume that the distributions of reductions in weekly dining-out spendings for the two groups have unknown and unequal population standard deviations. a. Construct a \(90 \%\) confidence interval for the difference in the mean weekly reduction in dining out spending levels for the two populations. b. Using a \(5 \%\) significance level, can you conclude that the average weekly spending reduction for all families of four with discretionary incomes between \(\$ 300\) and \(\$ 400\) per week is less than the average weekly spending reduction for all families of five with discretionary incomes between \(\$ 300\) and \(\$ 400\) per week?
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