You work in a data analyst unit for a large fast food restaurant chain, planning a customer survey and a colleague informs you that a 95% confidence interval has a 95% probability of containing a population parameter. Because of this, she insists that a survey distributed at one restaurant will provide significant results. Do you agree with her?
A) No, because 95% probability is a long-run probability requiring that multiple tests to be done
B) Yes, because 95% probability is the standard level for significance testing
C) No, because 95% confidence interval requires that multiple tests to be done
D) Yes, because 95% probability is a short-run probability requiring that only one test be done

Question

Quizplus · Accepted Answer

CA 95% confidence interval means that if we were to take many samples and build a confidence interval from each, about 95% of these intervals would contain the true population parameter. It's a long-run probability, not a guarantee for a single interval from one test. Multiple tests or samples are implied in the concept of confidence intervals to approximate the true parameter accurately.

You Work in a Data Analyst Unit for a Large