Test Hypotheses About a Population Proportion
-Increasing Numbers of Businesses $85 \%$

question 96

Short Answer

Test Hypotheses about a Population Proportion
-Increasing numbers of businesses are offering child-care benefits for their workers. However, one union claims that more than $85 \%$ of firms in the manufacturing sector still do not offer any child-care benefits to their workers. A random sample of 460 manufacturing firms is selected and asked if they offer child-care benefits. Suppose the $\mathrm { P }$ -value for this test was reported to be $\mathrm { p } = 0.1070$ . State the conclusion of interest to the union. Use $\alpha = 0.10$ .

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Definitions:

Efficiency Wage Model

An economic theory suggesting that higher wages might lead to increased productivity by attracting better employees and increasing worker motivation.

Electronic Devices

Gadgets like smartphones, laptops, and tablets that operate on electrical power and digital information.

Supply of Labor

The total hours that workers in the economy are willing and able to work at a given wage rate.

Demand for Labor

The total amount of workers employers are willing and able to hire at a given wage rate in a certain period.