Concept explainers
Using Confidence Intervals
a. Assume that we want to use a 0.05 significance level to test the claim that p1 < p2. Which is better: A hypothesis test or a confidence interval?
b. In general, when dealing with inferences for two population proportions, which two of the following are equivalent: confidence interval method; P-value method; critical value method?
c. If we want to use a 0.05 significance level to test the claim that p1 < p2, what confidence level should we use?
d. If we test the claim in part (c) using the sample data in Exercise 1, we get this confidence interval: −0.000508 < p1 − p2 < − 0.000309. What does this confidence interval suggest about the claim?
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