Point estimates and margins of error

About this lesson

Algebra II › Statistical inference

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Point estimates and margins of error

Statistical inference. experiments, normal distribution, margin of error, confidence intervals

Warm-up

Three quick questions from earlier lessons.

Discover

A poll reports 52% support, "plus or minus 3 points". Which range of values is plausible for the true support?

  1. 49% to 55%
  2. 52% to 55%

Key idea

An interval estimate: point estimate ± margin of error.

A confidence interval is estimate±margin of error\text{estimate} \pm \text{margin of error}, with margin of error =(critical value)×(standard error)= (\text{critical value}) \times (\text{standard error}). The point estimate is the center of the interval; the margin of error is half its width. Larger samples give smaller margins.

Worked example

Interval (0.42, 0.50).

Point estimate =0.46= 0.46
Center.
Margin of error =0.04= 0.04
Half the width.
0.46±0.040.46 \pm 0.04
Written as estimate ± ME.

Your turn, guided

Your turn: interval (12, 20). The margin of error.

44
(20 − 12)/2.

Practice ★

  1. A 95% confidence interval for a proportion is (39/100, 49/100). Find the margin of error.
  2. A 95% confidence interval for a proportion is (20/100, 32/100). Find the margin of error.
  1. A confidence interval for a mean is (41, 55). Find the point estimate.

Watch out!

Practice ★★

  1. A 95% interval from a sample of 591 is too wide. Which change makes it narrower?
    1. A larger sample size
    2. A higher confidence level, such as 99%
    3. Nothing: the width is fixed by the population

Exit ticket

Three questions to check you have got it.

  1. A 95% confidence interval for a proportion is (39/100, 49/100). Find the margin of error.
  2. A 95% confidence interval for a proportion is (20/100, 32/100). Find the margin of error.
  3. A 95% confidence interval for a proportion is (27/100, 37/100). Find the margin of error.

Summary card

Interval estimates

Estimate ± ME, ME = critical value × SE; ME = half the width.

Watch out: width = 2 × ME.

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