You are looking to find the different proportions of international students at universities. A poll is conducted at a private university that states out of 800 students, 150 of them are international. Another poll is conducted at a public university that states out of 1000 students, 200 of them are international.
- Write a 98% confidence interval for the difference in the proportions of private and public students that are international.
- Interpret the confidence interval that you found above by explaining what it means.
- Is there evidence that the proportion at the public university is higher than the private university? What are the appropriate hypotheses? Perform the test and find the P-value. Use a 5% significance level.
- Without doing any calculation, state what would have been the P-value if you had run a two-sided test. Would you reject or fail to reject the null hypothesis?
Sample Solution