The Institute of Education Sciences measures the high school dropout rate as the percentage of age 16 - 24 people who are not enrolled in school and have not earned a high school credential. 5 years ago, the high school dropout rate was 8.1%. A polling company recently took a survey of 1,000 people with age 16 ~ 24, and found that 6.5% of them are dropped out of their high schools. The polling company would like to argue that the dropout rate has decreased.

Glencoe Algebra 1, Student Edition, 9780079039897, 0079039898, 2018
18th Edition
ISBN:9780079039897
Author:Carter
Publisher:Carter
Chapter10: Statistics
Section10.6: Summarizing Categorical Data
Problem 42PFA
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Using 1% for the significance level, find the conclusion of this hypothesis testing in words using the p-value approach. Follow the questions below.

1) State the p-value and interpret the p-value in words. 

2) Using the significance level and the p-value, state the conclusion of this hypothesis testing. 

Exhibit 3: High school dropout
The Institute of Education Sciences measures the high school dropout rate as the percentage of
age 16 - 24 people who are not enrolled in school and have not earned a high school credential.
5 years ago, the high school dropout rate was 8.1%.
A polling company recently took a survey of 1,000 people with age 16 - 24, and found that
6.5% of them are dropped out of their high schools.
The polling company would like to argue that the dropout rate has decreased.
Transcribed Image Text:Exhibit 3: High school dropout The Institute of Education Sciences measures the high school dropout rate as the percentage of age 16 - 24 people who are not enrolled in school and have not earned a high school credential. 5 years ago, the high school dropout rate was 8.1%. A polling company recently took a survey of 1,000 people with age 16 - 24, and found that 6.5% of them are dropped out of their high schools. The polling company would like to argue that the dropout rate has decreased.
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