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According to the Census Bureau the sample proportion of American children withou

ID: 1097762 • Letter: A

Question

According to the Census Bureau the sample proportion of American children without health insurance rose from 0.109 in 2005 to 0.117 in 2006. Using the Census data you test the hypothesis that the change in the population proportion of American children without health insurance is zero with a Probability of Type I error = 0.05. You reject the zero change hypothesis. The correct interpretation is:

a The odds are 5 percent that if the sample of American children in 2006 had been expanded to include the entire population of American children, the change in the proportion of children without health insurance would still not be zero.

b Even if the change in the population of American children without health insurance really is zero, 5% of all repeated samples would have produced test statistics that cause you to reject the hypothesis that the change is zero.

c The test statistic for the null hypothesis that H?: ? = 0.109 is less than the critical value.

d 95 percent of repeated samples would produce confidence intervals within

Explanation / Answer

The correct interpretation is:b

Even if the change in the population of American children without health insurance really is zero, 5% of all repeated samples would have produced test statistics that cause you to reject the hypothesis that the change is zero

Explanation : Type1 error is an error made in rejecting the null hypothesis ,when infact it is true.

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