3. Multiple Choice: We wish to see if there is a difference in the proportion of

Question

3. Multiple Choice: We wish to see if there is a difference in the proportion of men and women who drive SUVs. Denote proportion of men as pM and proportion of women as pw. A 95% confidence interval for pM-pw was found to be (-0.23,-0.05). What can we conclude based on this interval? a) The proportion of men who driv SUVs is higher than the proportion of women. b) The proportion of women who drive SUVs is higher than the proportion of men. c) There is no significant difference in the proportion of men who drive SUVs and the proportion of women who drive SUVs. d) More information is needed. 4. Multiple Choice: A paired difference experiment consists of n 18 pairs. The sample information is: d = 5.7 and s.-16. Find a 90% confidence interval for the paired difference a) (5.7, 6.6) b) (2.74, 9.66) c) (0.57, 14.92) d) (-0.86, 12.26)

Explanation / Answer

To determine whether the difference between the population proportions is statistically significant, compare the p-value to the significance level. Usually, a significance level (denoted as or alpha) of 0.05 works well. A significance level of 0.05 indicates a 5% risk of concluding that a difference exists when there is no actual difference.

P-value : The difference between the proportions is statistically significant (Reject H0)

If the p-value is less than or equal to the significance level, the decision is to reject the null hypothesis. You can conclude that the difference between the population proportions is statistically significant. Use your specialized knowledge to determine whether the difference is practically significant. For more information, go to Statistical and practical significance.

P-value > : The difference between the proportions is not statistically significant (Fail to reject H0)

If the p-value is greater than the significance level, the decision is to fail to reject the null hypothesis. You do not have enough evidence to conclude that the difference between the population means is statistically significant. You should make sure that your test has enough power to detect a difference that is practically significant. For more information, go to Increase the power of a hypothesis test.

D option as more information is needed.

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