In: Statistics and Probability
5) A simple random sample of front-seat occupants involved in car crashes is obtained. Among 2881 occupants not wearing seat belts, 27were killed. Among 7900 occupants wearing seat belts, 15 were killed. Use a 0.01 significance level to test the claim that seat belts are effective in reducing fatalities. Complete parts (a) through (c) below.
a) Test the claim using a hypothesis test
Consider the first sample to be the sample of occupants not wearing seat belts and the second sample to be the sample of occupants wearing seat belts. What are the null and alternative hypotheses for the hypothesis test?
a1) Identify the test statistic (Round to two decimal places as needed)
a2) Identify the P Value (Round to three decimal places as needed)
a3) What is the conclusion based on the hypothesis test?
b) Test the claim by constructing an appropriate confidence level. (Round to three decimal places as needed)
b1) What is the conclusion based on the confidence interval?
c) What do the results suggest about the effectiveness of seat belts?
a. The result suggest that the use of seat belts is associated with higher fatality rates than not using seat belts
b. The results suggest that the use of seat belts is associated with the same fatality rates as not using seat belts
c. The result suggests that the use of seat belts is associated with lower fatality rates than not using seat belts
d. The results are inconclusive
For not wearing seat belts:
n1 = 2881, x1 = 27
p̂1 = x1/n1 = 0.0094
For wearing seat belts:
n2 = 7900, x2 = 15
p̂2 = x2/n2 = 0.0019
α = 0.01
a) Null and Alternative hypothesis:
Ho : p1 = p2
H1 : p1 > p2
Pooled proportion:
p̄ = (x1+x2)/(n1+n2) = (27+15)/(2881+7900) = 0.0039
Test statistic:
z = (p̂1 - p̂2)/√ [p̄*(1-p̄)*(1/n1+1/n2)]
= (0.0094 - 0.0019)/√[0.0039*0.9961*(1/2881+1/7900)] = 5.5119 = 5.51
p-value = 1- NORM.S.DIST(5.5119, 1) = 0.0000
Conclusion:
p-value < α, Reject the null hypothesis
-----------
b) 99% Confidence interval for the difference:
At α = 0.01, two tailed critical value, z_c = NORM.S.INV(0.01/2) = 2.576
Lower Bound = (p̂1 - p̂2) - z_c*√ [(p̂1*(1-p̂1)/n1)+(p̂2*(1-p̂2)/n2) ]
= (0.0094 - 0.0019) - 2.576*√[(0.0094*0.9906/2881) + (0.0019*0.9981/7900)] = 0.0027
Upper Bound = (p̂1 - p̂2) + z_c*√ [(p̂1*(1-p̂1)/n1)+(p̂2*(1-p̂2)/n2) ]
= (0.0094 - 0.0019) + 2.576*√[(0.0094*0.9906/2881) + (0.0019*0.9981/7900)] = 0.0123
As Both the values are greater than zero. There is enough evidence to conclude that seat belts are effective in reducing fatalities.
c) Answer : c. The result suggests that the use of seat belts is associated with lower fatality rates than not using seat belts.