Question

Suppose a poll is taken that shows that 765 out of 1500 randomly​ selected, independent people believe the rich should pay more taxes than they do. Test the hypothesis that a majority​ (more than​ 50%) believe the rich should pay more taxes than they do. Use a significance level of 0.05.

Answer 1

Answer:

$z=\frac{0.51 -0.5}{\sqrt{\frac{0.5(1-0.5)}{1500}}}=0.775$  

$p_v =P(z>0.775)=0.219$  

So the p value obtained was a very high value and using the significance level given $\alpha=0.05$ we have $p_v>\alpha$ so we can conclude that we have enough evidence to FAIL to reject the null hypothesis, and we can said that at 5% of significance the proportion of independent people who believe the rich should pay more taxes than they do is not significantly higher than 0.5

Step-by-step explanation:

Data given and notation

n=1500 represent the random sample taken

X=765 represent the  independent people who believe the rich should pay more taxes than they do

$\hat p=\frac{765}{1500}=0.51$ estimated proportion of independent people who believe the rich should pay more taxes than they do

$p_o=0.5$ is the value that we want to test

$\alpha=0.05$ represent the significance level

Confidence=95% or 0.95

z would represent the statistic (variable of interest)

$p_v$ represent the p value (variable of interest)  

Concepts and formulas to use  

We need to conduct a hypothesis in order to test the claim that the true proportion is higher than 0.5.:  

Null hypothesis:$p\leq 0.5$  

Alternative hypothesis:$p > 0.5$  

When we conduct a proportion test we need to use the z statistic, and the is given by:  

$z=\frac{\hat p -p_o}{\sqrt{\frac{p_o (1-p_o)}{n}}}$ (1)  

The One-Sample Proportion Test is used to assess whether a population proportion $\hat p$ is significantly different from a hypothesized value $p_o$.

Calculate the statistic  

Since we have all the info requires we can replace in formula (1) like this:  

$z=\frac{0.51 -0.5}{\sqrt{\frac{0.5(1-0.5)}{1500}}}=0.775$  

Statistical decision  

It's important to refresh the p value method or p value approach . "This method is about determining "likely" or "unlikely" by determining the probability assuming the null hypothesis were true of observing a more extreme test statistic in the direction of the alternative hypothesis than the one observed". Or in other words is just a method to have an statistical decision to fail to reject or reject the null hypothesis.  

The significance level provided $\alpha=0.05$. The next step would be calculate the p value for this test.  

Since is a right tailed test the p value would be:  

$p_v =P(z>0.775)=0.219$  

So the p value obtained was a very high value and using the significance level given $\alpha=0.05$ we have $p_v>\alpha$ so we can conclude that we have enough evidence to FAIL to reject the null hypothesis, and we can said that at 5% of significance the proportion of independent people who believe the rich should pay more taxes than they do is not significantly higher than 0.5