IV.8. Helping welfare mothers. A study compares two groups of mothers with young children who were on welfare two years ago. One group attended a voluntary training program that was offered free of charge at a local vocational school and was advertised in the local news media. The other group did not choose to attend the training program. The study finds a significant difference () between the proportions of the mothers in the two groups who are still on welfare. The difference is not only significant but quite large. The report says that with 95% confidence the percentage of the nonattending group still on welfare is 21% 4% higher than that of the group who attended the program. You are on the staff of a member of Congress who is interested in the plight of welfare mothers and who asks you about the report.
(a) Explain in simple language what “a significant difference (P < 0.01)’’ means.
(b) Explain clearly and briefly what “95% confidence’’ means.
(c) This study is not good evidence that requiring job training of all welfare mothers would greatly reduce the percentage who remain on welfare. Explain this to the member of Congress.