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Re: Margin of error

Posted by Michelle Tan on Jun 13, 2011; 3:36am
URL: http://spssx-discussion.165.s1.nabble.com/Margin-of-error-tp4481843p4483254.html

Thanks for the reply. DV is dichotomous and not the same in the three
scenarios. I am using MOE to add to the value of P to get the confidence
interval at a desired precision level.

Some background info.

The aim of the project is to conduct an audit to check if the claims
provision provided by our insurer is justified or not. So, p is the
proportion of justified cases. in my 3 scenarios, p is very lose to 1 as
expected.

There are a total of 3100 accident records which I have categorised into 3
categories of interest based on different criteria set for the 3
categories. (note that each accident may falls under more than one category
but it will only be audited once). A sample is then drawn from each
category. The findings are as follows:

N1 = 1000, n1=221, Margin of error = 1.52%
N2=500, n2=200, margin of error = 4.5%
N3=71, n3=67, Margin of error = 5.45%

i) I am using adjusted wald’s mtd to construct a Confidence interval for
each of the 3 categories and using the CI to make inferences to the total
population N in each category. is that possible? If yes, Is the sampling
error similar to Margin of error in this case? Does it sound right to use
the confidence interval obtained from sample to project to the population?
if no, what other analysis can i do?


ii) So does that means that for dichotomous data, regardless of how close
my sample size is to the pop size, the width of the margin of error only
depend on how close the estimate is to 50%?

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