Use the following information for questions:
In each situation, indicate whether it would make more sense to find a confidence interval for the population parameter or to conduct a hypothesis test for a specific null value.
-A consumer agency wishes to find out how much more private hospitals and medical clinics charge for certain procedures than the large (research) hospitals.
A) Confidence interval
B) Hypothesis test

Question

Use the following information for questions:
 In each situation, indicate whether it would make more sense to find a confidence interval for the population parameter or to conduct a hypothesis test for a specific null value.
-A consumer agency wishes to find out how much more private hospitals and medical clinics charge for certain procedures than the large (research) hospitals.
A) Confidence interval
B) Hypothesis test

Quizplus · Accepted Answer

A confidence interval would be more appropriate in this situation because the consumer agency is interested in estimating the difference in charges between private hospitals and medical clinics compared to large hospitals, rather than testing a specific hypothesis about the difference.

Use the Following Information for Questions