Suppose that Statistics Canada wants to compare the current unemployment rate between Montreal and Toronto.Let $\mathrm { PM }$ and $\mathrm { PT }$ represent the current unemployment rates in Montreal and the current A study found a 90% confidence interval for $\mathrm { PM }$ - $\mathrm { PT }$ is (-0.0457,0.0424).Give an interpretation of this confidence interval.
A)We are 90% confident that the unemployment rate in Toronto is between 4.57% less and 4.24% more than the unemployment rate in Montreal.
B)We know that 90% of the unemployment rate in Toronto is between 4.57% less and 4.24% more than the unemployment rate in Montreal.
C)We are 90% confident that the unemployment rate in Montreal is between 4.57% less and 4.24% more than the unemployment rate in Toronto.
D)We know that 90% of the unemployment rate in Montreal is between 4.57% less and 4.24% more than the unemployment rate in Toronto.
E)We know that 90% of all random samples done on the population will show that the unemployment rate in Montreal is between 4.57% less and 4.24% more than the unemployment rate in Toronto.

Question

Quizplus · Accepted Answer

The confidence interval is for the difference in unemployment rates between Montreal and Toronto. The lower bound of the interval (-0.0457) suggests that the unemployment rate in Montreal could be 4.57% less than Toronto's rate, and the upper bound (0.0424) suggests that Montreal's rate could be 4.24% more than Toronto's rate. Therefore, we can say with 90% confidence that the unemployment rate in Montreal is between 4.57% less and 4.24% more than the unemployment rate in Toronto.

Suppose That Statistics Canada Wants to Compare the Current Unemployment PM\mathrm { PM }PM

Suppose That Statistics Canada Wants to Compare the Current Unemployment $\mathrm { PM }$