Exercise 1. Two independent simple random samples were taken on November 16th, 2020. One was a SRS of 250 voting-age residents of lowa City, IA, and the other was a SRS of 165 voting-age residents of...

Extracted text: Exercise 1. Two independent simple random samples were taken on November 16th, 2020. One was a SRS of 250 voting-age residents of lowa City, IA, and the other was a SRS of 165 voting-age residents of Lincoln, NE. Each person sampled was asked whether they agreed with the statement, "President Trump should not yet concede the election." The results were as follows: lowa City: 122 agreed, Lincoln: 98 agreed. Researchers were interested in using these data to compare the lowa City and Lincoln population proportions agreeing with the statement. In particular, they wondered whether the data give evidence at the 0.01 level of a difference between the two population proportions. (a) Carefully describe the target of inference. (b) Compute and interpret a 99% confidence interval for the target of inference. (c) Test the implied hypotheses. Include a PV report. (d) If a reader of the PV report of part (c) is willing to accept a 0.05 (rather than 0.01) probability of a Type I error, would the conclusion change? If so, how would it change?