Question

On an average, a person in the United States spends $10,348 on healthcare annually (2016 data, ref). If you were doing a study to update this result for 2017-2018, how would you select your sample and why?

Answer 1

We will select our sample using Stratified Sample Technique as follows:

Step 1:
Decide the Total Sample size for the study, based on statistical methods. Simce the population of United States is large, obtaining a reasonable sample size requires approximating assumptions.

Step 2:

Divide the entire United States into various strata: here, the various strata can be the various states.

Step 3:

Compute the sample size required for each state depending on the opulation of the state.

Step 4:

Collect data on the amount of money spent by each person in the sample on healthcare annually for 2017-2018.

Step 5:

The entire data collected in such a way will provide the accurate sample for our above study.