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We have studied the effect of the sample size on the margin of error of the conf

ID: 3060024 • Letter: W

Question

We have studied the effect of the sample size on the margin of error of the confidence interval for a single proportion. In this exercise we perform some calculations to observe this effect for the two-sample problem. Suppose that p1 = 0.7 and p2 = 0.5, and n represents the common value of n1 and n2. Compute the 95% margins of error for the difference between the two proportions for n = 60, 70, 80, 100, 400, 500, and 1000. Present the results in a table. (Give the large-sample margins of error. Round your answers to three decimal places.) n m 60 Incorrect: Your answer is incorrect. 70 80 100 400 500 1000 Present the results with a graph. WebAssign Plot WebAssign Plot WebAssign Plot WebAssign Plot Write a short summary of your findings. As sample size increases, margin of error remains constant. As sample size increases, margin of error increases. As sample size increases, margin of error decreases. There is not enough information.

Explanation / Answer

a) For n = 60

Pooled proportion(P) = (p1 * n1 + p2 * n2)/(n1 + n2)

                             = 0.7 * 60 + 0.5 * 60)/120 = 0.6

SE = sqrt(P * (1 - P) * (1/n1 + 1/n2))

       = sqrt(0.6 * 0.4 * (1/60 + 1/60))

       = 0.0894

At 95% confidence interval margin of error is

z0.025 * SE

= 1.96 * 0.0984 = 0.193

b) n = 70

Pooled proportion(P) = (p1 * n1 + p2 * n2)/(n1 + n2)

                             = 0.7 * 70 + 0.5 * 70)/140 = 0.6

SE = sqrt(P * (1 - P) * (1/n1 + 1/n2))

       = sqrt(0.6 * 0.4 * (1/70 + 1/70))

       = 0.0828

At 95% confidence interval margin of error is

z0.025 * SE

= 1.96 * 0.0828 = 0.162

c) For n = 80

Pooled proportion(P) = (p1 * n1 + p2 * n2)/(n1 + n2)

                             = (0.7 * 80 + 0.5 * 80)/160 = 0.6

SE = sqrt(P * (1 - P) * (1/n1 + 1/n2))

       = sqrt(0.6 * 0.4 * (1/80 + 1/80))

       = 0.0775

At 95% confidence interval margin of error is

z0.025 * SE

= 1.96 * 0.0775 = 0.152

d) For n = 100

Pooled proportion(P) = (p1 * n1 + p2 * n2)/(n1 + n2)

                             = (0.7 * 100 + 0.5 * 100)/200 = 0.6

SE = sqrt(P * (1 - P) * (1/n1 + 1/n2))

       = sqrt(0.6 * 0.4 * (1/100 + 1/100))

       = 0.0693

At 95% confidence interval margin of error is

z0.025 * SE

= 1.96 * 0.0693 = 0.136

e) For n = 400

Pooled proportion(P) = (p1 * n1 + p2 * n2)/(n1 + n2)

                             = (0.7 * 400 + 0.5 * 400)/800 = 0.6

SE = sqrt(P * (1 - P) * (1/n1 + 1/n2))

       = sqrt(0.6 * 0.4 * (1/400 + 1/400))

       = 0.0346

At 95% confidence interval margin of error is

z0.025 * SE

= 1.96 * 0.0346 = 0.068

f) For n = 500

Pooled proportion(P) = (p1 * n1 + p2 * n2)/(n1 + n2)

                             = (0.7 * 500 + 0.5 * 500)/1000 = 0.6

SE = sqrt(P * (1 - P) * (1/n1 + 1/n2))

       = sqrt(0.6 * 0.4 * (1/500 + 1/500))

       = 0.031

At 95% confidence interval margin of error is

z0.025 * SE

= 1.96 * 0.031 = 0.061

g) For n = 1000

Pooled proportion(P) = (p1 * n1 + p2 * n2)/(n1 + n2)

                             = (0.7 * 1000 + 0.5 * 1000)/2000 = 0.6

SE = sqrt(P * (1 - P) * (1/n1 + 1/n2))

       = sqrt(0.6 * 0.4 * (1/1000 + 1/1000))

       = 0.0219

At 95% confidence interval margin of error is

z0.025 * SE

= 1.96 * 0.0219 = 0.043

As sample size increases margin of error decreases.

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