1. P-value and confidence interval. A two-sided test of H0: μ = 0 yields a P-value...

1. P-value and confidence interval. A two-sided test of H0: μ = 0 yields a P-value of 0.03. Will the corresponding 95% confidence interval for μ include 0 in its midst? Will the 99% confidence interval for μ include 0? Explain your reasoning in each instance.

Expert Solution

We reject null hypothesis if the p-value is less than the level of significance and accept null hypothesis if it is greater than .

[1- confidence interval = ]

95% confidence interval means 0.05 level of significance.

Here p-value is less than 0.05. [ 0.03<0.05]. Thus we reject our null hypothesis i.e we reject =0. Hence in this case the confidence interval won't have =0 in it.

99% confidence interval has a level of significance 0.01. Here the p-value (0.03) is greater than the level of significance thus we accept null hypothesis. (0.03>0.01) Hence here we accept =0 and accordingly we will have zero in the 99% confidence interval for .

orchestra answered 2 years ago

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