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91Ó°ÊÓ

According to the U.S. Census Bureau, in \(2014,62 \%\) of Americans age 18 and older were married. A recent sample of 2000 Americans age 18 and older showed that \(58 \%\) of them are married. Can you reject the null hypothesis at a \(1 \%\) significance level in favor of the alternative that the percentage of current population of Americans age 18 and older who are married is lower than \(62 \%\) ? Use both the \(p\) -value and the critical-value approaches.

Short Answer

Expert verified
At a 1% level of significance, the null hypothesis can be rejected using both p-value and critical value approach. This suggests that the percentage of Americans age 18 and older who are now married is less than 62%.

Step by step solution

01

Identify Hypotheses and Sample Statistics

The null hypothesis \(H_0\) is that \(p = 0.62\), and the alternative hypothesis \(H_1\) is that \(p < 0.62\).\nThe sample size \(n = 2000\), and the observed percentage of married Americans in the sample \(\hat{p} = 0.58\). No standard deviation \(\sigma\) is given.
02

Calculate the Test Statistic (Z-Score)

The z-score can be calculated using the formula: \[Z = \frac{{\hat{p} - p}}{\sqrt{\frac{{p(1 - p)}}{n}}}\]. Substituting the given values: \[Z = \frac{{0.58 - 0.62}}{\sqrt{\frac{{0.62(1 - 0.62)}}{2000}}}.\] After the calculations, the result is approximately \(-5.47\).
03

Find the Critical Z for a 1% Level of Significance

The critical Z value for a one-tailed test at 1% significance level is \(-2.33\). Here, we're using one tailed test because we're checking if the percentage is less than 62%.
04

Reject or Fail to Reject the Null Hypothesis Using the Critical Value Approach

As the calculated Z score of -5.47 is less than the critical Z value of -2.33, the null hypothesis can be rejected in favor of the alternative. This means that at a 1% level of significance, there's evidence to support the belief that the percentage of Americans age 18 and older who are now married is less than 62%.
05

Calculate the P-Value

The p-value is the smallest level of significance at which we would reject the null hypothesis. It is found by using the standard normal distribution to find the probability that a value is less than the calculated Z value (-5.47). Using z-tables or a standard normal distribution calculator, it is found to be virtually 0.
06

Reject or Fail to Reject the Null Hypothesis Using the P-Value Approach

A general rule of thumb is if the calculated p-value is less than the level of significance, the null hypothesis should be rejected. In this case, the p-value is virtually 0 and thus less than 0.01. Therefore, the null hypothesis can be rejected in favor of the alternative. This confirms the conclusion from the critical value approach.

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Key Concepts

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

Null Hypothesis
In hypothesis testing, the null hypothesis, denoted as \( H_0 \), is the assumption that there is no effect or no difference, and it serves as the starting point for statistical testing. In simpler terms, it's like saying "nothing has changed."
For our specific exercise, the null hypothesis is that the proportion of married Americans is the same as it was in 2014, which is \( 62\% \).
To put it mathematically:
  • The null hypothesis \( H_0: p = 0.62 \) means we assume that the current marriage rate is still \( 62\% \).
The opposing idea, called the alternative hypothesis, is what you propose if the null hypothesis is not supported by the data. Here, the alternative hypothesis suggests a decrease, stating:
  • \( H_1: p < 0.62 \), meaning the marriage rate is less than \( 62\% \).
Significance Level
The significance level is a critical concept in hypothesis testing. It essentially determines how strict we are with rejecting the null hypothesis.
Typically, a significance level is denoted by \( \alpha \) and is stated as a percentage. In our example, the significance level is \( 1\% \) or \( 0.01 \) when expressed as a decimal.
This means there is only a \( 1\% \) risk of concluding that there is a difference when there is actually none. Essentially, it's the threshold we use to decide if our test results are due to chance or if they are statistically significant.
The significance level is crucial because it influences the determination of the critical value, which in turn affects whether we reject the null hypothesis.
Z-Score
A Z-score is a statistical measure that helps us understand where our data point lies in relation to the mean of a dataset. It's often used to test hypotheses when dealing with proportions or means.
In this exercise, we calculated the Z-score to test whether the sample proportion of married individuals (\( 58\% \)) differs from the population proportion (\( 62\% \)). The formula used is: \[Z = \frac{{\hat{p} - p}}{\sqrt{\frac{{p(1 - p)}}{n}}}\]
  • \( \hat{p} = 0.58 \) is the sample proportion.
  • \( p = 0.62 \) is the null hypothesis proportion.
  • \( n = 2000 \) is the sample size.
  • The calculated Z-score, \( -5.47 \), indicates how many standard deviations our sample mean is below the null hypothesis mean.
A negative Z-score here shows that the sample proportion is less than 62%, and given the critical Z value threshold for \( 1\% \) significance which is about \(-2.33\), our Z-score of \(-5.47\) is quite decisive.
P-Value
The p-value is a crucial part of hypothesis testing, used to quantify the strength of the evidence against the null hypothesis. It's essentially the probability that the observed data would occur if the null hypothesis were true.
In this context, a very small p-value indicates strong evidence against the null hypothesis. Computed for this exercise using the calculated Z-score of \(-5.47\), the p-value is practically zero.
This means there's an extremely low probability that the observed proportion of married individuals (\(58\%\)) would occur if the true proportion were still \(62\%\).
The rule is simple:
  • If the p-value is less than the significance level (and here it is \(0\) which is far less than our \(0.01\) significance), we reject the null hypothesis.
In conclusion, both the critical value approach and the p-value approach lead to rejecting the null in favor of the alternative, affirming that there's statistically significant evidence suggesting a lower marriage rate than \( 62\% \).

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Most popular questions from this chapter

Consider the following null and alternative hypotheses: $$ H_{0}: p=.82 \text { versus } H_{1}: p \neq .82 $$ A random sample of 600 observations taken from this population produced a sample proportion of \(.86\). a. If this test is made at a \(2 \%\) significance level, would you reject the null hypothesis? Use the critical-value approach. b. What is the probability of making a Type I error in part a? c. Calculate the \(p\) -value for the test. Based on this \(p\) -value, would you reject the null hypothesis if \(\alpha=.025\) ? What if \(\alpha=.01 ?\)

Explain which of the following is a two-tailed test, a left-tailed test, or a right-tailed test. a. \(H_{0}: \mu=12, H_{1}: \mu<12\) b. \(H_{0}: \mu \leq 85, H_{1}: \mu>85\) c. \(H_{0}: \mu=33, H_{1}: \mu \neq 33\) Show the rejection and nonrejection regions for each of these cases by drawing a sampling distribution curve for the sample mean, assuming that it is normally distributed.

Consider the following null and alternative hypotheses: $$ H_{0}: \mu=60 \text { versus } \quad H_{1}: \mu>60 $$ Suppose you perform this test at \(\alpha=.01\) and fail to reject the null hypothesis. Would you state that the difference between the hypothesized value of the population mean and the observed value of the sample mean is "statistically significant" or would you state that this difference is "statistically not significant?" Explain.

Write the null and alternative hypotheses for each of the following examples. Determine if each is a case of a two-tailed, a left-tailed, or a right-tailed test. a. To test if the mean amount of time spent per week watching sports on television by all adult men is different from \(9.5\) hours b. To test if the mean amount of money spent by all customers at a supermarket is less than \(\$ 105\) c. To test whether the mean starting salary of college graduates is higher than \(\$ 47,000\) per year d. To test if the mean waiting time at the drive-through window at a fast food restaurant during rush hour differs from 10 minutes e. To test if the mean time spent per week on house chores by all housewives is less than 30 hours

Which of the two hypotheses (null and alternative) is initially assumed to be true in a test of hypothesis?

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