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Remark:
• ( is point estimator of (
• If then by CLT, we have
Inference on the difference in means of two normal
distributions, variances known.
Confidence interval on the difference in means:
A
100(1-α)% confidence interval for (( is:
is:
Example:
Example: A A product
product developer
developer is is interested
interested in
in reducing
reducing the
the drying
drying time
time ofof aa primer
primer
paint.
paint. Two
Two formulations
formulations of of the
the paint
paint are
are tested;
tested; formulation
formulation 11 is
is the
the standard
standard chemistry,
chemistry,
and
and formulation
formulation 22 hashas aa new
new drying
drying ingredient
ingredient that
that should
should reduce
reduce the
the drying
drying time.
time.
From
From experience,
experience, itit is
is known
known that
that the
the standard
standard deviation
deviation ofof drying
drying time
time isis 88 minutes,
minutes,
and
and this
this inherent
inherent variability
variability should
should bebe unaffected
unaffected byby the
the addition
addition ofof the
the new
new ingredient.
ingredient.
Ten
Ten specimens
specimens are
are painted
painted with
with formulation
formulation 1, 1, and
and another
another 1010 specimens
specimens are are painted
painted
with
with formulation
formulation 2;
2; thethe 20
20 specimens
specimens are are painted
painted in
in random
random order.
order. The
The two
two sample
sample
average
average drying
drying times
times are are and
and
Construct
Construct 95%
95% confidence
confidence interval
interval on
on the
the difference
difference in
in means.
means.
Inference on the difference in means of two normal
distributions, variances known.
One-sided confidence bound on the difference in means:
• A 100(1-α)% upper confidence bound for (( is:
is:
•• A
A 100(1-α)%
100(1-α)% upper
upper confidence
confidence bound for ( is:
bound for
Inference on the difference in means of two normal
distributions, variances known.
Test of hypotheses for difference in means
• Step 1: Construct the two hypotheses H0:
H1 :
• Step 2: Find the test statistic:
•• A
A 100(1-α)%
100(1-α)% upper
upper confidence
confidence bound for ( is
bound for
Inference on the difference in means of two normal
distributions, variances unknown (assume equal variances)
Test of hypotheses for difference in means
• Step 1: Construct the two hypotheses
H0 :
H1 :
• Step 2: Find the test statistic:
Remark:
• Sample proportion: and
• ( is point estimator of (
• If , we have
• Pooled proportion .
Inference on two population proportions
Confidence interval on the difference of 2 proportions:
A
100(1-α)% confidence interval for (( is:
is:
Inference on two population proportions
Example: Extracts of St. John’s Wort are widely used to treat
depression. An article in the April 18, 2001, issue of the Journal
of the American Medical Association (“Effectiveness of St.
John’s Wort on Major Depression: A Randomized Controlled
Trial”) compared the efficacy of a standard extract of St. John’s
Wort with a placebo in 200 outpatients diagnosed with major
depression. Patients were randomly assigned to two groups; one
group received the St. John’s Wort, and the other received the
placebo. After eight weeks, 19 of the placebo-treated patients
showed improvement, and 27 of those treated with St. John’s
Wort improved.