Mathematics, 13.07.2020 14:01 ari10184

6.37 More than one confidence interval. As we prepare to take a sample and compute a 95% confidence interval, we know that the probability that the interval we compute will cover the parameter is 0.95. That’s the meaning of 95% confidence. If we plan to use several such intervals, however, our confidence that all of them will give correct results is less than 95%. Suppose that we plan to take independent samples each month for five months and report a 95% confidence interval for each set of data. (a) What is the probability that all five intervals will cover the true means? This probability (expressed as a percent) is our overall confidence level for the five simultaneous statements. (b) Suppose we instead considered individual 99% confidence intervals. Now, what is the overall confidence level for the five simultaneous statements? (c) Based on the results of parts (a) and (b), how could you keep

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6.37 More than one confidence interval. As we prepare to take a sample and compute a 95% confidence...

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