In: Statistics and Probability
Solution:
Given: an opinion poll asks a simple random sample of 200 United States immigrants how they view their job prospects.
Thus sample size = n = 200
x = Number of immigrants who say their job prospects are good = 121
We have to test if the poll give convincing evidence to conclude that more than half of all immigrants think their job prospects are good.
We have P = The proportion of all immigrants who say their job prospects are good
Thus we use following steps:
Step 1) State H0 and H1:
H0: P = 0.5 Vs H1: P > 0.5
Step 2) Find test statistic value:
We use z test statistic value for one proportion test.
where
and P = 0.5
Step 3) Find z critical value.
Since level of significance is not given, we use level of significance =
Since H1: P > 0.5 is > type , this is right tailed test.
Thus we use Area = 1 -
Look in z table for Area = 0.9500 or its closest area and find corresponding z value.
Area 0.9500 is in between 0.9495 and 0.9505 and both the area are at same distance from 0.9500
Thus we look for both area and find both z values
Thus Area 0.9495 corresponds to 1.64 and 0.9505 corresponds to 1.65
Thus average of both z values is : ( 1.64+1.65) / 2 = 1.645
Thus Zcritical = 1.645
Step 4) Decision Rule:
Reject H0, if z test statistic value > z critical value = 1.645, otherwise we fail to reject H0.
Since z test statistic value = 2.97 > z critical value = 1.645, we reject H0.
Step 5) Conclusion:
Since we have rejected H0, the poll gives convincing evidence to conclude that more than half of all immigrants think their job prospects are good.