Good Sample? An economist is investigating the incomes of college students. Because she lives in Maine, she obtains sample data from that state. Is the resulting mean income of college students a good estimator of the mean income of college students in the United States? Why or why not?
Table of contents
- 1. Intro to Stats and Collecting Data55m
- 2. Describing Data with Tables and Graphs1h 55m
- 3. Describing Data Numerically1h 45m
- 4. Probability2h 16m
- 5. Binomial Distribution & Discrete Random Variables2h 33m
- 6. Normal Distribution and Continuous Random Variables1h 38m
- 7. Sampling Distributions & Confidence Intervals: Mean1h 53m
- 8. Sampling Distributions & Confidence Intervals: Proportion1h 12m
- 9. Hypothesis Testing for One Sample2h 19m
- 10. Hypothesis Testing for Two Samples3h 22m
- 11. Correlation1h 6m
- 12. Regression1h 4m
- 13. Chi-Square Tests & Goodness of Fit1h 20m
- 14. ANOVA1h 0m
7. Sampling Distributions & Confidence Intervals: Mean
Introduction to Confidence Intervals
Problem 9.2.4
Textbook Question
Degrees of Freedom For Example 1, we used df=smaller of n1-1 and n2-1 we got df=11 and the corresponding critical value is t=-1.796 (found from Table A-4). If we calculate df using Formula 9-1, we get df=19.370 and the corresponding critical value is t=-1.727 How is using the critical value of t=-1.796 “more conservative” than using the critical value of t=-1.727

1
Step 1: Understand the concept of degrees of freedom (df). Degrees of freedom represent the number of independent values or quantities that can vary in a statistical calculation. In this problem, df is calculated using two methods: the smaller of n1-1 and n2-1, and Formula 9-1.
Step 2: Recognize the relationship between degrees of freedom and the critical value of t. A smaller df typically results in a larger critical value of t, which corresponds to a wider confidence interval or stricter threshold for rejecting the null hypothesis.
Step 3: Compare the two critical values provided: t = -1.796 (using df = 11) and t = -1.727 (using df = 19.370). The critical value of t = -1.796 is larger in magnitude, meaning it sets a stricter threshold for statistical significance.
Step 4: Understand the term 'more conservative.' In statistics, a 'more conservative' approach means being less likely to reject the null hypothesis. Using the larger critical value (t = -1.796) requires stronger evidence to reject the null hypothesis, making this approach more conservative.
Step 5: Conclude that using the smaller df (df = 11) and the corresponding critical value of t = -1.796 is more conservative because it increases the likelihood of retaining the null hypothesis, reducing the risk of Type I error (false positive).

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Key Concepts
Here are the essential concepts you must grasp in order to answer the question correctly.
Degrees of Freedom
Degrees of freedom (df) refer to the number of independent values or quantities that can vary in a statistical calculation. In hypothesis testing, df is crucial for determining the appropriate distribution to use, as it affects the shape of the t-distribution. The smaller the df, the wider the t-distribution, which can lead to more conservative estimates in statistical tests.
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Critical Values: t-Distribution
Critical Value
A critical value is a threshold that determines the boundary for rejecting the null hypothesis in hypothesis testing. It is derived from the chosen significance level (alpha) and the relevant statistical distribution, such as the t-distribution. In this context, a more conservative critical value means that it is less likely to reject the null hypothesis, thus reducing the risk of Type I errors.
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Critical Values: t-Distribution
Conservativeness in Statistical Testing
In statistical testing, a conservative approach refers to using stricter criteria for making decisions, such as requiring stronger evidence to reject the null hypothesis. This is often achieved by using a higher critical value, which leads to a lower probability of falsely rejecting the null hypothesis. In the given example, using the critical value of t=-1.796 is more conservative than t=-1.727, as it requires more substantial evidence to conclude a significant effect.
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