part 5

Statcrunch Chapter 11

This project requires you to look at income data from 51 different areas (50 states and D.C.). This data has a column for each of the following: White Women, Black Women, All Men. This is actual data comprised from the Census 2013 American Consumer Surveys. The goal is to work with real data, run statistics and draw conclusion on the difference or similarities in income based on race. There are 5 parts to this project that you will work on during 5 different weeks of the course. You will be writing conclusions, differences and similarities between the data sets after each part so in the end you have a complete report that will be submitted. In the end your findings should discuss the discrepancies in income based on race. Each week I will grade your submission and provide feedback on parts you should redo before completing the final project at the end of the semester.

Part 5

Task 1: Open the Income data set in Statcrunch.

Task 2: Construct a 95% confidence interval for the average difference in the means between White Women and Black Women’s income.

Task 3: Construct a 95% confidence interval for the average difference in the means between White Woman’s income and the Male income.

Task 4: Write your conclusion from the hypothesis test, being sure to include the hypotheses, P-value, and if we reject or do not reject the null. List the confidence interval and be sure to write an interpretation sentence.

***Step by Step directions for Statrcrunch are on the following Pages

***Please follow formatting guidance provided in the case study template

Performing a paired t test:

Make sure you have opened the Income data set. Click Stats T-Stats Paired. For sample 1 select White Women. Sample 2 will be Black Women. The hypothesis test we wish to perform will be a greater than test. Click Compute.

Make sure you highlight, copy and paste this data into your write up.

Constructing a Paired Mean Confidence Interval:

Click Stats T-Stats Paired. For sample 1 select White. Sample 2 will be Male. This time select confidence interval. There is no need to change the confidence level as we want a 95% confidence level. Click Compute. Make sure you highlight, copy and paste this data into your write up.

Now type your findings for the week. Write your conclusion from the hypothesis test, being sure to include the hypotheses, P-value, and if we reject or do not reject the null. Did it make a difference if you use alpha of .01 versus alpha of .10? List the confidence interval and be sure to write an interpretation sentence. Please review how we write out conclusions. There is/is not sufficient evidence… We are ___% confident the mean difference … Why are the values in this confidence interval negative?

Please refer to the formatting guidelines on the case study template