According to government data, 22%of American children under the age of 6 live in households with incomes less than the official poverty level. A study of learning in

early childhood chooses an SRS of300 children from one state and finds that pp^=.

a. Find the probability that at least 29%of the sample are from poverty-level households0.29households.

b. Based on your answer to part (a), is there convincing evidence that the percentage of children under the age of 6 living in households with incomes less than the official poverty level in this state is greater than the national value of 22%? Explain your reasoning.

Short Answer

Expert verified

(a)The standard normal probability is 0.17%

(b) the official poverty level in this state is above the national value of 22%

Step by step solution

01

Part (a) Step 1: Given Information

Given:

p=22%=0.22n=50p^=0.29

Formula used:

σp^=p(1-p)nz=x-μσ

02

Part (a) Step 2: Simplification

Concider,μp^=p=22%=0.22

The standard deviation of the sampling distribution of the sample population p^

σp^=p(1-p)n=0.22(1-0.22)300=0.0239

The z-score is

z=x-μσ=0.29-0.220.0239=2.93

The standard normal probability is

P(p^0.29)=P(Z>2.93)=1-P(Z<2.93)=1-0.9983=0.0017=0.17%

03

Part (b) Step 1: Given Information

Given:

p=22%=0.22n=50p^=0.29

Formula used:

σp^=p(1-p)nz=x-μσ

04

Part (b) Step 2: Simplification

Consider,μp^=p=22%=0.22

The standard deviation of the sampling distribution of the sample population p^is

σp^=p(1-p)n=0.22(1-0.22)300=0.0239

The z-score is

z=x-μσ=0.29-0.220.0239=2.93

Standard normal probability

P(p^0.29)=P(Z>2.93)=1-P(Z<2.93)=1-0.9983=0.0017=0.17%

When the likelihood is less than 0.05, the probability is said to be small.

In this situation, the chance is really low, therefore getting at least 29 percent housed holds is implausible. This implies there is strong evidence that the percentage of children under the age of six living in households with earnings below the official poverty level in this state is higher than the national average of 22%.

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