1. A recent study reported that an estimated 70% of professionals in IT have considered moving to U.S to earn a higher salary. The report further stated that this estimate is considered accurate within three percentage points, and correct 19 times out of 20. a. Is the 70% a statistic or a parameter? b. Is the 3% a standard error or a margin of error? c. Explain what the phrase “19 times out of 20” means?
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Solution;
(a)
70% is a parameter.
It describes population.
(b)
Margin of error
(c)
This is the confidence interval which estimates that 20 different unknown parameters,19 will have 70% IT professional considering to move to US.