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The economic dynamism, which is the index of productive growth (in dollars) for

ID: 2946439 • Letter: T

Question

The economic dynamism, which is the index of productive growth (in dollars) for countries that are designated by the World Bank as middle-income are in following table ("SOCR data 2008," 2013):

Table:   Economic Dynamism ($) of Middle Income Countries

299883

299816

299778

299796

299682

299711

299611

299599

300051

299781

299578

299796

299774

299820

299772

299696

299573

299748

299748

299797

299851

299809

299723

Compute a 95% confidence interval for the mean economic dynamism of middle-income countries by answering the following questions:

(i)  Determine sample mean x :{"version":"1.1","math":"<math xmlns="http://www.w3.org/1998/Math/MathML"><mstyle mathsize="14px"><mrow><mfenced><mi mathvariant="bold">i</mi></mfenced><mo mathvariant="bold">&#xA0;</mo><mo mathvariant="bold">&#xA0;</mo><mi mathvariant="bold-italic">D</mi><mi mathvariant="bold-italic">e</mi><mi mathvariant="bold-italic">t</mi><mi mathvariant="bold-italic">e</mi><mi mathvariant="bold-italic">r</mi><mi mathvariant="bold-italic">m</mi><mi mathvariant="bold-italic">i</mi><mi mathvariant="bold-italic">n</mi><mi mathvariant="bold-italic">e</mi><mo mathvariant="bold">&#xA0;</mo><mi mathvariant="bold-italic">s</mi><mi mathvariant="bold-italic">a</mi><mi mathvariant="bold-italic">m</mi><mi mathvariant="bold-italic">p</mi><mi mathvariant="bold-italic">l</mi><mi mathvariant="bold-italic">e</mi><mo mathvariant="bold">&#xA0;</mo><mi mathvariant="bold-italic">m</mi><mi mathvariant="bold-italic">e</mi><mi mathvariant="bold-italic">a</mi><mi mathvariant="bold-italic">n</mi><mo mathvariant="bold">&#xA0;</mo><menclose notation="top"><mi mathvariant="bold">x</mi></menclose><mo>&#xA0;</mo><mo>:</mo></mrow></mstyle></math>"}

Enter in decimal form to nearest ten-thousandth. Do not enter units of measure. Examples of correctly entered answers:

0.0015     0.0000     136.7000       99.0070        36.9128

(ii)  Determine sample standard deviation s :

Enter in decimal form to nearest ten-thousandth. Examples of correctly entered answers:

0.0001    0.0020    0.5000    5.3070    1.7157

(iii) Determine degrees of freedom df value:

Enter value as whole number

(iv) Determine t score corresponding to desired confidence level

Enter value in decimal form rounded to nearest hundredth. Examples of correctly entered answers:

2.01 0.37 0.60 0.00

(v) Determine error bound of the mean:

Enter value in decimal form rounded to nearest ten-thousandth. Examples of correctly entered answers:

0.0000     0.0003     3.0060     2.0700

11.5000    27.9143   13.0000

(vi) Determine the confidence interval.

Enter lower bound value to nearest ten-thousandth, followed by < , followed by "p" for proportion or "m" for mean, followed by <, followed by upper bound value to nearest tenth. No spaces between any characters. Do not use italics. Examples of correctly entered answers:

0.7000<p<0.8010

13.1340<m<13.9113

-9.7659<m<-8.1466

(vii) Using the confidence interval, select the correct description of the result of the survey:

A. We estimate with 95% confidence that the true proportion mean economic dynamism for middle-income countries is between $40.21 and $47.54.

B. We estimate with 95% confidence that the proportional economic dynamism for middle-income countries is between $40.21 and $47.54.

C. We estimate with 95% confidence that the population amount of economic dynamism for middle-income countries is between $40.21 and $47.54.

D. We estimate with 95% confidence that the true population mean economic dynamism for middle-income countries is between $40.21 and $47.54.

299883

299816

299778

299796

299682

299711

299611

299599

300051

299781

299578

299796

299774

299820

299772

299696

299573

299748

299748

299797

299851

299809

299723

Explanation / Answer

i)
using excel
command = average(data)

mean =299756.2174


ii)
sd = stdev(data)
= 107.1146185
= 107.1146

iii)
df = n-1 = 23-1 = 22

iv)
=t.inv.2t(0.05,22)
=2.073873068
= 2.07

v)
error bound = t * s/sqrt(n) = 2.073873068* 107.1146/sqrt(23)
= 46.3198265097
= 46.3198

vi)
confidence interval =
(299756.2174 - 46.3198 , 299756.2174 +46.3198 )
= (299709.8976,299802.5372)

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