A random sample of n 1 = 249 people who live in a city were selected and 87 identified as a democrat. a random sample of n 2 = 113 people who live in a rural area were selected and 58 identified as a democrat. find the 98% confidence interval for the difference in the proportion of people that live in a city who identify as a democrat and the proportion of people that live in a rural area who identify as a democrat.

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Answer:

[tex]CI=\{-0.2941,-0.0337\}[/tex]

Step-by-step explanation:

Assuming conditions are met, the formula for a confidence interval (CI) for the difference between two population proportions is [tex]\displaystyle CI=(\hat{p}_1-\hat{p}_2)\pm z^*\sqrt{\frac{\hat{p}_1(1-\hat{p}_1)}{n_1}+\frac{\hat{p}_2(1-\hat{p}_2)}{n_2}[/tex] where [tex]\hat{p}_1[/tex] and [tex]n_1[/tex] are the sample proportion and sample size of the first sample, and [tex]\hat{p}_2[/tex] and [tex]n_2[/tex] are the sample proportion and sample size of the second sample.

We see that [tex]\hat{p}_1=\frac{87}{249}\approx0.3494[/tex] and [tex]\hat{p}_2=\frac{58}{113}\approx0.5133[/tex]. We also know that a 98% confidence level corresponds to a critical value of [tex]z^*=2.33[/tex], so we can plug these values into the formula to get our desired confidence interval:

[tex]\displaystyle CI=(\hat{p}_1-\hat{p}_2)\pm z^*\sqrt{\frac{\hat{p}_1(1-\hat{p}_1)}{n_1}+\frac{\hat{p}_2(1-\hat{p}_2)}{n_2}}\\\\CI=\biggr(\frac{87}{249}-\frac{58}{113}\biggr)\pm 2.33\sqrt{\frac{\frac{87}{249}(1-\frac{87}{249})}{249}+\frac{\frac{58}{113}(1-\frac{58}{113})}{113}}\\\\CI=\{-0.2941,-0.0337\}[/tex]

Hence, we are 98% confident that the true difference in the proportion of people that live in a city who identify as a democrat and the proportion of people that live in a rural area who identify as a democrat is contained within the interval {-0.2941,-0.0337}

The 98% confidence interval also suggests that it may be more likely that identified democrats in a rural area have a greater proportion than identified democrats in a city since the differences in the interval are less than 0.

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