(13) P₁: 98 Suppose a study is conducted to determine whether the proportion of United Airlines flights that arrive late is larger than the proportion of Delta Airlines flights that arrive late. It is found that 98 out of a sample of 1,000 United flights and 67 out of a sample of 1,000 Delta flights arrive late. A randomization distribution with 1,000 simulated samples is given below. Randomization Dotplot of Null Hypothesis: p, "P2 $0.098 60.067 1000 70 60 50 40 30 20 10 Leh Tall Two Tall -0.05 -0.04 Right Tail -0.03 -0.02 -0.01 0.40 null 0 0.01 0.02 Samples 1000 mean-0.00027 std. error-0.014 0.03 0.04 Conduct a complete hypothesis test for the difference in proportions, including the following elements: State the null and alternative hypotheses, using correct notation. Calculate the observed sample statistic. Use the randomization distribution and the percentile method to calculate the p-value of the observed sample statistic. Make a formal conclusion at a 5% significance level. Interpret your conclusion in context. P= UA H₂= P₁ = P₂ P₁=DA Ha: Pi>P₂ P-P₂=0.098-0067 = 0.03 = 0.03±2 (0.014) = (0.002,

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**Hypothesis Testing for Airline Punctuality**

A study is conducted to determine whether the proportion of United Airlines flights that arrive late is larger than the proportion of Delta Airlines flights that arrive late. The data reveal that 98 out of 1,000 United flights arrive late, while 67 out of 1,000 Delta flights arrive late. A randomization distribution with 1,000 simulated samples is depicted below.

**Randomization Dotplot Explanation:**
- **X-Axis:** Difference in proportions (\(\widehat{p}_1 - \widehat{p}_2\)).
- **Y-Axis:** Frequency of occurrence in the simulation.
- The distribution is centered around the null hypothesis value (0).
- Mean = 0.0007
- Standard Error = 0.0141
- Tails indicate the extremities of the distribution for hypothesis testing.

**Hypothesis Test Procedure:**

1. **Formulating Hypotheses:**
   - Null Hypothesis (\(H_0\)): \(p_1 = p_2\)
   - Alternative Hypothesis (\(H_a\)): \(p_1 > p_2\)

2. **Observed Sample Statistics:**
   - For United Airlines (\(p_1\)): \(p_1 = \frac{98}{1000} = 0.098\)
   - For Delta Airlines (\(p_2\)): \(p_2 = \frac{67}{1000} = 0.067\)
   - Observed difference (\(\widehat{p}_1 - \widehat{p}_2 = 0.098 - 0.067 = 0.031\))

3. **Calculating the p-value:**
   - From the randomization distribution, use the percentile method.
   - \(p\) = 0.03 + 2(0.014) = 0.002

4. **Formal Conclusion (5% significance level):**
   - Since the p-value is less than 0.05, we reject the null hypothesis.
   - Conclusion: There is significant evidence at the 5% level to conclude that the proportion of United Airlines flights arriving late is greater than that of Delta Airlines flights.

**Interpretation:**
The analysis indicates that United Airlines has a statistically higher proportion of flights arriving late compared to Delta Airlines. This insight can assist in operational assessments and customer service enhancements
Transcribed Image Text:**Hypothesis Testing for Airline Punctuality** A study is conducted to determine whether the proportion of United Airlines flights that arrive late is larger than the proportion of Delta Airlines flights that arrive late. The data reveal that 98 out of 1,000 United flights arrive late, while 67 out of 1,000 Delta flights arrive late. A randomization distribution with 1,000 simulated samples is depicted below. **Randomization Dotplot Explanation:** - **X-Axis:** Difference in proportions (\(\widehat{p}_1 - \widehat{p}_2\)). - **Y-Axis:** Frequency of occurrence in the simulation. - The distribution is centered around the null hypothesis value (0). - Mean = 0.0007 - Standard Error = 0.0141 - Tails indicate the extremities of the distribution for hypothesis testing. **Hypothesis Test Procedure:** 1. **Formulating Hypotheses:** - Null Hypothesis (\(H_0\)): \(p_1 = p_2\) - Alternative Hypothesis (\(H_a\)): \(p_1 > p_2\) 2. **Observed Sample Statistics:** - For United Airlines (\(p_1\)): \(p_1 = \frac{98}{1000} = 0.098\) - For Delta Airlines (\(p_2\)): \(p_2 = \frac{67}{1000} = 0.067\) - Observed difference (\(\widehat{p}_1 - \widehat{p}_2 = 0.098 - 0.067 = 0.031\)) 3. **Calculating the p-value:** - From the randomization distribution, use the percentile method. - \(p\) = 0.03 + 2(0.014) = 0.002 4. **Formal Conclusion (5% significance level):** - Since the p-value is less than 0.05, we reject the null hypothesis. - Conclusion: There is significant evidence at the 5% level to conclude that the proportion of United Airlines flights arriving late is greater than that of Delta Airlines flights. **Interpretation:** The analysis indicates that United Airlines has a statistically higher proportion of flights arriving late compared to Delta Airlines. This insight can assist in operational assessments and customer service enhancements
Expert Solution
Step 1:- (i)

Here we need to test whether the proportion of united airlines flights that arrive lage is larger than the proportion of delta airlines flights that arrive late. 

So null hypothesis, H0: (p1 <= p2)

Alternative hypothesis, (p1>p2)

 

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