In 1947, an organization surveyed 1100 adults and asked, "Are you a total abstainer from, or do you on occasion consume, alcoholic beverages?" Of the 1100 adults surveyed, 363 indicated that they were total abstainers. In a recent survey, the same question was asked of 1100 adults and 319 indicated that they were total abstainers. Use the α =0.01 level of significance.
1) Find the test statistic for this hypothesis test.
2) Determine the P-value for this hypothesis test.
From the given information:
p1 = 363/1100 = 0.33
p2 = 319/1100 = 0.29
n1 = n2 = 1100
We need to test the difference in proportions. We will use a two-sample z-test for proportions.
Ho: p1 - p2 = 0
Ha: p1 - p2 =/ 0
The formula for the test statistic is:
p-bar = (363 + 319)/(1100 + 1100) = 0.31
Inputting the values in the formula, we get:
z = 2.029
b) The p-value for the test = .04236
As the p-value < 0.05, we can reject the null hypothesis. We conclude that there is a significant difference in the proportions.
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