as "moderate rain" according to a new rainfall rating system. Using the formula from
lectures, compute a 95% confidence interval for the difference in the proportions of
raining days classified as having "moderate rain" from Station 1 and from Station 2.
While you may use a function in R to verify your answer, it is expected that you show
the steps of working out the limits of the confidence interval via hand working. You
may use R to perform the calculations required for these steps. Hint: You'll have to
determine the number of daily rainfall records in the data set for each Station that
are between 10 and 20 millimetres.
(f) [4 marks] One measure of the performance of an estimator is the mean squared
error (MSE), which combines the bias and the variance of an estimator into one
measure. Suppose that X~ B(₁, p₁) and Y~ B(n2, p2) are independent binomial
random variables. Therefore the means of the random variables are E(X) = n₁p₁ and
E(Y) = n₂p2 and the variances are Var(X) = n₁p₁(1-p₁) and Var(Y) = n2p2(1-P2).
We can estimate the difference in the unknown population proportions p₁ - p2 with
the difference in the sample proportions p1-p2.
Show that the MSE of p1 - p2 is:
Fig: 1