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Refer to Exercise 15.

(a) Carry out a significance test at the =0.05level.

(b) Construct and interpret a 95%confidence interval for the difference between the population proportions. Explain how the confidence interval is consistent with the results of the test in part (a).

Short Answer

Expert verified

(a) There is sufficient evidence to support the claim of a difference between the population proportions.

(b) We are 95%confident that the proportion difference is between 0.066and 0.174.

Step by step solution

01

Part(a) Step 1: Given Information

Given

p^1=79%=0.79

n1=800

p^2=67%=0.67

n2=400

Determine the hypothesis

H0:p1-p2=0

Ha:p1-p20

02

Part(a) Step 2: Explanation

The sample proportion is the number of successes divided by the sample size:

p^1=x1n1=632800=0.79

p^2=x2n2=268400=0.67

p^p=x1+x2n1+n2=632+268800+400=9001200=0.75

Determine the value of the test statistic:

z=p^1-p^2p^p1-p^p1n1+1n2=0.79-0.670.75(1-0.75)1800+14004.53

The p-value is the probability of obtaining the value of the test statistic, or a value more extreme. Determine thep-value using table A:
localid="1650450174625" P=P(Z<-4.53orZ>4.53)=2P(Z<-4.53)=20.0001=0.0002

If the P-value is smaller than the significance level, reject the null hypothesis:

P<0.05RejectH0

03

Part(b) Step 1: Given Information

Given

p^1=79%=0.79

n1=800

p^2=67%=0.67

n2=400

Determine the hypothesis

H0:p1-p2=0

Ha:p1-p20

04

Part(b) Step 2: Explanation

The sample proportion is the number of successes divided by the sample size:

p^1=x1n1=632800=0.79

p^2=x2n2=268400=0.67

For confidence level 1-=0.95, determine z/2=z0.025Using table II (look up xz/2=z0.025in the table, the z-score is then the found z-score with opposite sign):

z/2=1.96

The endpoints of the confidence interval for $p_{1}-p_{2}$ are then:

localid="1650450195998" p^1-p^2-z/2p^11-p^1n1+p^21-p^2n2=(0.79-0.67)-1.960.79(1-0.79)800+0.67(1-0.67)4000.066

localid="1650450210366" p^1-p^2+z/2p^11-p^1n1+p^21-p^2n2=(0.79-0.67)+1.960.79(1-0.79)800+0.67(1-0.67)4000.174

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