5) Let\'s examine the relationship between C\'s and hypothesis tests: (a) You ca

Question

5) Let's examine the relationship between C's and hypothesis tests: (a) You calculate a 90% confidence interval for and come up with (10, 22). If you test H: = 27 and use -10, will you reject H? Why or why not? (b) Now you calculate a 95% CI for and come up with (-3,6). If you test H: = 7 and use = .10, will you reject Ho? Why or why not? (c) Finally, you calculate a 95% CI for for and come up with (-34-28). If you test Ho: =-23 and use = .01, will you reject H.? Why or why not? Hint: you need to think about how confidence levels and hypothesis tests are equivalent. In particular, what happens to a Cl as you change the confidence level?

Explanation / Answer

a) we reject as 27 is not in our confidence interval

b) we will reject it as 7 is not in interval/ also for 0.10 level CI level should be 90% ; while 95% CI is wider then 90% Ci

c) we can not reject null hypothesis ; cause even -23 is not in the interval ; 95% Ci is shorter then 99% interval which is required for 0.01 level,

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