Example 1: Exploring Time People Spend on Social Media
n: 50 (range 30 – 65)
x̄: 55 (range 54 – 58)
σ: 15 (range 15 – 50)
α: 0.05 (range 0.01 – 0.05)
Level 1
According to a recent Forbes article, Americans spent an average \( \mu_0 = 58 \) minutes a day on Facebook in 2020. A researcher is interested in checking if the average time has changed this year. She asks a sample of \( n = 50 \) people that resulted in an average of \( \bar{x} = 55 \) minutes daily. Assume the population standard deviation is \( \sigma = 15 \) minutes. Is there enough evidence that the average time spent on Facebook has changed at a significance level of \( \alpha = 0.05 \)?
Solution A – Finding Z-test and Comparing it to Z-critical
- The first step in every statistics problem is identifying the relevant and important information. From the problem, we know we have:
- Population average: \( \mu_0 = 58 \)
- Sample size: \( n = 50 \)
- Sample average: \( \bar{x} = 55 \)
- Population standard deviation: \( \sigma = 15 \)
- Next, we decide whether to use the z-score or t-score. The z-score is used when we know the population standard deviation. The t-score is used when we don’t have a population standard deviation or are calculating the sample standard deviation. Since we know the population standard deviation, we use the z-score.
- Now, calculate the z-test using the formula below, and compare it with the z-critical value to decide whether to reject the null hypothesis.
To calculate the z-score in Excel, use the following formula:
\[ NORM.S.INV(\frac{\alpha}{2}) \rightarrow NORM.S.INV(0.05/2) \]
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Finally, the z-test and the z-score can be compared to determine whether or not the null hypothesis is true. To do this, let's plot the numbers on a number line.
Think of the z-score as a limit. In this case, the limits are \( -1.96 \) and \( 1.96 \). Any value inside those limits confirms the null hypothesis. Using the number line, we can see that \( -1.41 \) is inside the limits, so it confirms the null hypothesis. If the null hypothesis is true (is confirmed), we do not reject it.