2-20-09 - Economic Statistics Class Notes 2/20/09...

Info iconThis preview shows pages 1–6. Sign up to view the full content.

View Full Document Right Arrow Icon
Economic Statistics – Class Notes – 2/20/09 Confidence Intervals Case I – A Confidence Interval for the population mean when the (variance/standard deviation) is KNOWN We are going to use Xbar because it is unbiased and consistent. o The probability that Xbar is equal to a specific value is approximately zero you want to setup a range of values in which the true mean may potentially lay Given some population described by Find formulas for “a” and “b such that: Procedure: 1. Begin with a true probability statement 2. Isolate the parameter of interest in the center
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Let alpha = 0.1 (Alpha/2) = 0.05 Z(alpha/2)
Background image of page 2
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Background image of page 4
Background image of page 5

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Background image of page 6
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 6

2-20-09 - Economic Statistics Class Notes 2/20/09...

This preview shows document pages 1 - 6. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online