In: Statistics and Probability
The National Institute of Mental Health published an article stating that in any one-year period, approximately 9.5% of American adults suffer from depression or a depressive illness. Suppose that in a survey of hundred people in a certain town, seven of them suffered from depression or a depressive illness. Conduct a hypothesis test to determine if the true proportion of people in that town suffering from depression or a depressive illness is lower than the percentage in the general adult American population
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Answer:
The null hypothesiscan be stated as shown below:
That mean, the proportion of people suffering from depression in the town is at least 9.5% of American adults.
And, the alternative hypothesiscan be stated as shown below:
That mean, the proportion of people suffering from depression in the town is less than 9.5% of American adults.
Here, x is the number of successes from total number in the sample. Therefore, x is.
iHere, n is the total number in the sample. Therefore, n is.
Point estimatecan be calculated as shown below:
The calculation ofis shown below:
The distribution foris shown below:
Therefore,
To find p-value in excel, enter value of p andas shown below:
Now, calculate z-statistics in cell B4 by inserting formula.
The screenshot is shown below:
Finally, calculate p-value as shown below:
Hence, p-value is.
Decision: Do not reject the null hypothesis.
Reason for the decision: Reject because. But here, p-value is greater than alpha level 0.05. That is,
Conclusion: It is given that the p-value is 0.196. Therefore, for 5% of established alpha level it can say that do not reject the null hypothesis because p-value is greater than alpha level 0.05. Hence, there is no sufficient evidence to insure that the proportion of people suffering from depression in the town is less than 9.5% of American adults.