Health Care Knowledge Systems reported that an insured woman spends on average 2.3 days in the hospital for a routine childbirth, while an uninsured woman spends on average 1.9 days. Assume two samples of 16 women each were used in both samples. The standard deviation of the first sample is equal to 0.6 day, and the standard deviation of the second sample is 0.3 day. At α = 0.01, test the claim that the means are equal. Find the 99% confidence interval for the differences of the means. Use the P-value method.
a. State the hypotheses and identify the claim.
b. Find the critical value(s).
c. Compute the test value.
d. Make the decision.
e. Summarize the results.