DT087 DT088 DT9417 16273 16260 18985 You have been commissioned to measure and c

Question

DT087 DT088 DT9417 16273 16260 18985 You have been commissioned to measure and compare the levels of income (10 Marks) equality in several European countries. Devise a measure that you would use to compare income equality in each country. According to the US department of Health, the average number of accidental drowning per year in the US is 3.0 per 100,000 population. Find the probability that in a city of population 50,000 there will be fewer than 2 deaths as a result of accidental drowning per year?

Explanation / Answer

Answer to part a)

The variable to be compared is "income" and we need to compare several countries, This implies there are several groups to be compared for one factor only , hence one factor ANOVA can be used to compare the income equality of several Eurpoean countries

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Answer to part b)

proportion = 3.0 for 100000 population

probability = 3/100000 = 0.00003

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N = 50000

x <2

We make use of poisson distirbution here to find the porbability

P(x < 2) = P(x =0) + P(x=1)

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Formula of poisson probability

P(X=x) e^-0.00003 * (0.00003)^x/x!

P(x=0) = e^0.00003

P(x=1) = e^0.00003 * 0.00003

Thus P(x < 2) = 1.00003 *e^0.00003 = 1.00003

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