Patron amenability to supply biomass. Relate to the Biomass and Energy (Vol. 36, 2012) study of the amenability of directors to supply biomass products similar to fat hay, Exercise8.20 (p. 469). Recall that independent samples of Missouri directors and Illinois directors were surveyed. Another aspect of the study concentrated on the service directors who were willing to supply. One essential service involves windrowing (mowing and piling) hay. Of the 558 Missouri directors surveyed, 187 were willing to offer windrowing. Of the 940 Illinois directors surveyed, 380 were willing to offer windrowing services. The experimenters want to know if the proportion of directors willing to offer windrowing services to the biomass request differs for the two areas, Missouri and Illinois.

a. Specify the parameter of interest to the experimenters.

b. Set up the null and indispensable suppositions for testing whether the proportion of directors willing to offer windrowing services differs in Missouri and Illinois.

c. A Minitab analysis of the data is given below. Detect the test statistic on the printout.

d. provide the rejection region for the test using a = .01.

e. Detect the p- the value of the test on the printout.

f. Make the applicable conclusion using both the p-value and rejection region approach. Your conclusions should agree.

Short Answer

Expert verified

A service provides value to consumers by enabling desired results without the ownership of particular potential costs.

Step by step solution

01

Step-by-Step Solution Step 1: Specify the parameter of interest

The parameter of interest is the difference between the proportions of producers who were willing to offer windrowing services to the biomass market area Missouri (p1) and the proportions of producers who were willing to offer windrowing services to the biomass market area Ilinois (p2).

That is, the parameter of interest is P1– P2.

02

Write the null and alternative hypotheses

Null hypothesis:

H0: P₁-P₁=0

There is no difference between the proportions of producers who were willing to offer windrowing services to the biomass market area in Missouri and Illinois.

Alternative hypothesis:

Ha: P₁-P₁≠0

There is a difference between the proportions of producers who were willing to offer windrowing services to the biomass market area in Missouri and Illinois.

03

from the MINITAB, the test statistic

from the MINITAB output, the test statistic (z) value is -2.67.

04

state is a region of rejection

Let the confidence level be 0.99.

1 – α = 0.99

α = 1 – 0.99

= 0.01

a2=0.005

05

From the appendix D table-2

From appendix D- Table2, the value of za/2is given below.

za2= z0.005

= 2.58

So, the value of Za/2 is 2.58 .

Rejection region :

If z > za/2(=2.58), then reject the null hypothesis H0.

If z > za/2(= - 2.58), then reject the null hypothesis H0.

06

Minitab

From the MINITAB output, the p-value is 0.008.

07

conclusion for rejection region approach

The critical value is 2.58, and the value of z is 2.67.

Here, the value is greater than the value of Za/2.

That is, z(= 2.67) > Za/2, (= 2.58).

so,by the rejection rule, reject the null hypothesis (H0).

Thus, it can be concluded that there is evidence to reject the null hypothesis (H0) at α=0.01.

Hence, there is a difference between the proportions of producers willing to supply windrowing services to the biomass market area in Missouri and Illinois.

08

Conclusion for the p-value approach

Use the significance level, α =0.01.

Here p-value is 0.008, which is lesser than the level of significance.

That is, (p-value = 0.008) <(α=0.01).

Therefore, by the condition, If the p-value < α, reject the null hypothesis.

Hence, reject the null hypothesis H0.

Thus, it can be concluded that there is evidence to reject the null hypothesis at a=0.01.

There is a difference between the proportions of producers who were willing to supply windrowing services to the biomass market area in Missouri and Illinois.

Hence, the conclusions obtained from both approaches are the same.

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Most popular questions from this chapter

Question: Refer to the Journal of Business Logistics (Vol. 36, 2015) study of the factors that lead to successful performance-based logistics projects, Exercise 2.45 (p. 95). Recall that the opinions of a sample of Department of Defense (DOD) employees and suppliers were solicited during interviews. Data on years of experience for the 6 commercial suppliers interviewed and the 11 government employees interviewed are listed in the accompanying table. Assume these samples were randomly and independently selected from the populations of DOD employees and commercial suppliers. Consider the following claim: “On average, commercial suppliers of the DOD have less experience than government employees.”

a. Give the null and alternative hypotheses for testing the claim.

b. An XLSTAT printout giving the test results is shown at the bottom of the page. Find and interpret the p-value of the test user.

c. What assumptions about the data are required for the inference, part b, to be valid? Check these assumptions graphically using the data in the PBL file.

Ages of self-employed immigrants. Is self-employment for immigrant workers a faster route to economic advancement in the country? This was one of the questions studied in research published in the International Journal of Manpower (Vol. 32, 2011). One aspect of the study involved comparing the ages of self-employed and wage-earning immigrants. The researcher found that in Sweden, native wage earners tend to be younger than self-employed natives. However, immigrant wage earners tend to be older than self-employed immigrants. This inference was based on the table's summary statistics for male Swedish immigrants.

Self-employed immigrants

Wage-earning immigrants

Sample Size

870

84,875

Mean

44.88

46.79

Source: Based on L. Andersson, "Occupational Choice and Returns to Self-Employment Among Immigrants," International Journal of Manpower, Vol. 32, No. 8, 2011 (Table I).

a. Based on the information given, why is it impossible to provide a measure of reliability for the inference "Self-employed immigrants are younger, on average, than wage-earning immigrants in Sweden"?

b. What information do you need to measure reliability for the inference, part a?

c. Give a value of the test statistic that would conclude that the true mean age of self-employed immigrants is less than the true mean age of wage-earning immigrants if you are willing to risk a Type I error rate of .01.

d. Assume that s, the standard deviation of the ages is the same for both self-employed and wage-earning immigrants. Give an estimate of s that would lead you to conclude that the true mean age of self-employed immigrants is less than the true mean age of wage-earning immigrants using α=0.01 .

e. Is the true value of s likely to be larger or smaller than the one you calculated in part d?

Intrusion detection systems. The Journal of Researchof the National Institute of Standards and Technology (November–December 2003) published a study of a doubleintrusion detection system with independent systems. Ifthere is an intruder, system A sounds an alarm with probability.9, and system B sounds an alarm with probability.95. If there is no intruder, system A sounds an alarm withprobability .2, and system B sounds an alarm with probability.1. Now assume that the probability of an intruderis .4. Also assume that under a given condition (intruderor not), systems A and B operate independently. If bothsystems sound an alarm, what is the probability that anintruder is detected?

Suppose you want to estimate the difference between two population means correct to within 1.8 with a 95% confidence interval. If prior information suggests that the population variances are approximately equal to σ12=σ22=14 and you want to select independent random samples of equal size from the populations, how large should the sample sizes n1, and n2, be?

Fingerprint expertise.A study published in PsychologicalScience(August 2011) tested the accuracy of experts andnovices in identifying fingerprints. Participants were presentedpairs of fingerprints and asked to judge whetherthe prints in each pair matched. The pairs were presentedunder three different conditions: prints from the same individual (match condition), non-matching but similar prints (similar distracter condition), and nonmatching and very dissimilar prints (non-similar distracter condition). The percentages of correct decisions made by the two groups under each of the three conditions are listed in the table.

Conditions

Fingerprints expert

Novices

Match similar

92.12%

74.55%

Distracter

99.32%

44.82%

Non-similar distracter

100%

77.03%

a.Given a pair of matched prints, what is the probability that an expert failed to identify the match?

b. Given a pair of matched prints, what is the probabilitythat a novice failed to identify the match?

c. Assume the study included 10 participants, 5 experts and 5 novices. Suppose that a pair of matched prints was presented to a randomly selected study participant and the participant failed to identify the match. Is the participant more likely to be an expert or a novice?

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