Physics, 07.04.2020 16:01 MicarriHarris6122

The elasticity of demand for gasoline has been estimated to be 2.0, and the standard error is 1.0. The upper and lower bounds on the 95 percent confidence interval for the elasticity of demand for gasoline are:

Answers: 2

Show answers

Answers

Answer from: tahiratnoel20

The confidence interval for the mean is given by the following formula:

$\bar X \pm z_{\alpha/2}\frac{\sigma}{\sqrt{n}}$ (1)

Since the Confidence is 0.95 or 95%, the value of $\alpha=0.05$ and $\alpha/2 =0.025$ , and we can use excel, a calculator or a table to find the critical value. The excel command would be: "=-NORM.INV(0.025,0,1)".And we see that $z_{\alpha/2}=1.96$

The standard error for this case is given:

$SE =\frac{\sigma}{\sqrt{n}}=1$

Now we have everything in order to replace into formula (1):

2-1.96*11=0.04

2+1.96*1=3.96

Explanation:

Previous concepts

A confidence interval is "a range of values that’s likely to include a population value with a certain degree of confidence. It is often expressed a % whereby a population means lies between an upper and lower interval".

The margin of error is the range of values below and above the sample statistic in a confidence interval.

Normal distribution, is a "probability distribution that is symmetric about the mean, showing that data near the mean are more frequent in occurrence than data far from the mean".

$\bar X =2$ represent the sample mean for the sample

$\mu$ population mean (variable of interest)

s represent the sample standard deviation

n represent the sample size

Calculate the confidence interval

The confidence interval for the mean is given by the following formula:

$\bar X \pm z_{\alpha/2}\frac{\sigma}{\sqrt{n}}$ (1)

The standard error for this case is given:

$SE =\frac{\sigma}{\sqrt{n}}=1$

Now we have everything in order to replace into formula (1):

2-1.96*11=0.04

2+1.96*1=3.96

Answer from: Quest

firearm identification is the process of analyzing the bullets and cartridge cases left at a crime scene to determine if they came from a particular firearm. marks on the bullets and cartridges may be common to every firearm of that type. these are called class characteristics.

Answer from: Quest

It indicates no change in temperature and the process of matter changing its state

Another question on Physics

Physics, 22.06.2019 16:10

To a of 4 x hz is 1. 0. mm nm nm

Answers: 1

Answer

Physics, 22.06.2019 17:20

In a system with only a single force acting upon a body, what is the relationship between the change in kinetic energy and the work done by the force? answers: work is equal to the change in kinetic energy.work depends on the square of the change in potential energy.work is equal to the negative of the change in kinetic energy.work is equal to the square of the change in kinetic energy

Answers: 2

Answer

Physics, 22.06.2019 20:30

Avehicle accelerates from 0 to 30 m/s in 10 seconds on a straight road

Answers: 2

Answer

Physics, 23.06.2019 14:00

Write the formula for average velocity a car travels a distance of 50 km in 5 hours and returns travelling the same distance in 6 hours calculate the average velocity of the car

Answers: 2

Answer

You know the right answer?

The elasticity of demand for gasoline has been estimated to be 2.0, and the standard error is 1.0. T...

Questions