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Math Help - confidence interval

  1. #1
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    confidence interval

    A sample of construction workers was taken in a large city.
    16 of the 150 workers were unemployed.
    I found the confidence interval of 6.5% to 14.8%.

    the second part of the question...
    The overall unemployment rate is 6.8%.
    Based on your confidence interval, is there evidence at the 0.05 level to show that unemployment rate for city construction workers is significantly higher than the overall city rate.
    What do I do?
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  2. #2
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    Quote Originally Posted by Morgan82 View Post
    A sample of construction workers was taken in a large city.
    16 of the 150 workers were unemployed.
    I found the confidence interval of 6.5% to 14.8%. Mr F asks: Is this a 95% confidence interval? 90%? 99%?

    the second part of the question...
    The overall unemployment rate is 6.8%.
    Based on your confidence interval, is there evidence at the 0.05 level to show that unemployment rate for city construction workers is significantly higher than the overall city rate.
    What do I do?
    I'll assume that you have calculated a 95% confidence interval. Does 6.8% lie in it? Your conclusion?
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  3. #3
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    Quote Originally Posted by mr fantastic View Post
    I'll assume that you have calculated a 95% confidence interval. Does 6.8% lie in it? Your conclusion?
    Yes. 95% confident that its between 6.5% and 14.8%.
    Yes, 6.8 is in there. But why does it say evidence at the 0.05 level?
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  4. #4
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    Quote Originally Posted by Morgan82 View Post
    Yes. 95% confident that its between 6.5% and 14.8%.
    Yes, 6.8 is in there. But why does it say evidence at the 0.05 level?
    Evidence at the 0.05 level is using a 95% confidence interval.
    Evidence at the 0.01 level would be a 99% confidence interval.
    It's just a way of telling what confidence interval you should be using.
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