An urban planning group is interested in estimating the difference in mean household income between two neighbourhoods. They obtain the following 95% confidence interval: (-5693, -4107)
Which of the following is true?
A) This is a pooled t-confidence interval.
B) There is no significant difference in the mean household incomes between the two neighbourhoods.
C) There is a significant difference in the mean household incomes between the two neighbourhoods.
D) This is a paired t-confidence interval and there is no significant difference in the mean household incomes between the two neighbourhoods.
E) This is a paired t-confidence interval and the mean household income of the first neighbourhood is higher than in the second.

Question

Quizplus · Accepted Answer

The confidence interval is entirely negative, which means that the mean household income in the first neighbourhood is significantly lower than in the second neighbourhood at the 95% confidence level. The use of a pooled t-test or a paired t-test is not mentioned in the question. It is only mentioned that the difference in mean household income is being estimated.

An Urban Planning Group Is Interested in Estimating the Difference