Confidence Interval Estimation

These flashcards cover key concepts related to confidence interval estimation, including its definition, formulas, and components.

Point Estimate

A single number used to estimate a population parameter.

Confidence Interval

A range of values that estimate a population parameter and provides information about the precision of the estimate.

Standard Error

The standard deviation of the point estimate.

Critical Value

A table value based on the desired confidence level used in the calculation of a confidence interval.

Confidence Level

The percentage that indicates how confident one is that the confidence interval contains the true population parameter.

Zα/2

The critical value from the standard normal distribution for a specified confidence level.

Sample Statistic

A value calculated from sample data used as a point estimate of a population parameter.

Student’s t Distribution

A family of distributions used when the population standard deviation is unknown and is estimated from the sample.

Degrees of Freedom (d.f.)

The number of independent values or quantities that can vary in the analysis.

Population Parameter

A value that summarizes a characteristic of a population, such as the population mean.

Confidence Interval Formula

Point Estimate ± (Critical Value)(Standard Error) used to calculate confidence intervals.

95% Confidence Interval

An interval estimate where we are 95% certain that it contains the true population parameter.

Normal Distribution

A probability distribution that is symmetric about the mean, depicting the distribution of many types of data.