Labor Day was created by the U.S. labor movement over 100 years ago. It was subsequently adopted by most states as an official holiday. In a poll by Gallup, 1000 randomly selected adults were asked whether they approve of labor unions; 650 said yes. In 1936, about 72% of Americans approved of labor unions. At a 5% level of significance, do the data provide sufficient evidence to conclude that the percentage of Americans who approve of labor unions now has decreased since 1936? Solve using the critical-value approach. a. Define the parameter we are testing and setup a hypothesis test to see if less than 72% of Americans approve of labor unions currently. b. Calculate the test statistics for this hypothesis test. c. What is the critical value for this hypothesis test?
Labor Day was created by the U.S. labor movement over 100 years ago. It was subsequently adopted by most states as an official holiday. In a poll by Gallup, 1000 randomly selected adults were asked whether they approve of labor unions; 650 said yes.
In 1936, about 72% of Americans approved of labor unions. At a 5% level of significance, do the data provide sufficient evidence to conclude that the percentage of Americans who approve of labor unions now has decreased since 1936?
Solve using the critical-value approach.
a. Define the parameter we are testing and setup a hypothesis test to see if less than 72% of Americans approve of labor unions currently.
b. Calculate the test statistics for this hypothesis test.
c. What is the critical value for this hypothesis test?
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