Construct a 95 confidence interval for the difference in


Does education really make a difference in how much money you will earn? Researchers randomly selected 100 people from each of three income categories-"marginally rich," "comfortably rich," and "superrich"-and recorded their education levels. The data is summarized in the table that follows.

Highest Education Latl

Marginally
Rich

Comfortably
Rich

Super Rich

No college

32

20

23

Some college

13

16

1

Undergraduate degree

43

51

60

Postgraduate study

12

13

16

Total

100

100

100

a. Describe the independent multinomial populations whose proportions are compared in the χ2 analysis.

b. Do the data indicate that the proportions in the various education levels differ for the three income categories? Test at the α =.01 level.

c. Construct a 95% confidence interval for the difference in proportions with at least an undergraduate degree for individuals who are marginally and super rich. Interpret the interval.

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Microeconomics: Construct a 95 confidence interval for the difference in
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