The U.S. Bureau of Labor Statistics reports that 11.3% of U.S. workers belong to unions. Suppose a sample of 400 U.S. workers is collected in 2014 to determine whether union efforts to organize have increased union membership at 0.025 level of significance. The sample results in a test statistic (z) of 2.2.

We conclude that union membership increased in 2014. (Enter 1 if the conclusion is correct. Enter 0 otherwise.)

Respuesta :

Answer:

1. The conclusion is statistically correct at the significance level given.

Step-by-step explanation:

1) Data given and notation n  

n=400 represent the random sample taken  

X represent the people with union membership in the sample

[tex]\hat p[/tex] estimated proportion of people with union membership in the sample

[tex]p_o=0.113[/tex] is the value that we want to test  

[tex]\alpha=0.025[/tex] represent the significance level (no given)  

z would represent the statistic (variable of interest)  

[tex]p_v[/tex] represent the p value (variable of interest)  

p= population proportion of people with union membership

2) Concepts and formulas to use  

We need to conduct a hypothesis in order to test the claim that the proportion of people with union membership exceeds 11.3%. :  

Null Hypothesis: [tex]p \leq 0.113[/tex]

Alternative Hypothesis: [tex]p >0.113[/tex]

We assume that the proportion follows a normal distribution.  

This is a one tail upper test for the proportion of  union membership.

The One-Sample Proportion Test is "used to assess whether a population proportion [tex]\hat p[/tex] is significantly (different,higher or less) from a hypothesized value [tex]p_o[/tex]".

Check for the assumptions that he sample must satisfy in order to apply the test

a)The random sample needs to be representative: On this case the problem no mention about it but we can assume it.

b) The sample needs to be large enough

[tex]np_o =400*0.113=45.2>10[/tex]

[tex]n(1-p_o)=400*(1-0.113)=354.8>10[/tex]

3) Calculate the statistic  

The statistic is calculated with the following formula:

[tex]z=\frac{\hat p -p_o}{\sqrt{\frac{p_o(1-p_o)}{n}}}[/tex]

On this case the value of [tex]p_o=0.113[/tex] is the value that we are testing and n = 400.

Since we have already the statistic calculated z=2.2, we just need to calculate the p value in order to check if we can reject or not the null hypothesis.

4) Statistical decision  

It's important to refresh the p value method or p value approach . "This method is about determining "likely" or "unlikely" by determining the probability assuming the null hypothesis were true of observing a more extreme test statistic in the direction of the alternative hypothesis than the one observed". Or in other words is just a method to have an statistical decision to fail to reject or reject the null hypothesis.  

Based on the alternative hypothesis the p value would be given by:

[tex]p_v =P(z>2.2)=1-P(z<2.2)=0.014[/tex]

Using the significance level given [tex]\alpha=0.025[/tex] we see that [tex]p_v<\alpha[/tex] so we have enough evidence at this significance level to reject the null hypothesis. And on this case makes sense the claim that the union membership increased in 2014.