The article Sex and Race Discrimination in the NewCar Showro

The article \"Sex and Race Discrimination in the New-Car Showroom: A Fact or Myth   \" ( J. Consumer Affairs, 1977 pp. 107-113) reported the results of an experiment in which individuals of different races and sexes visited car dealerships to request the best possible deal on a certain car. Consider the following representative (hypothetical) data; each value is the agreed price in dollars:

Dealerships:                  1          2          3           4          5          6          7          8           9   

Black female:              4459 4320 4268 4585 4736 4262 4440 4398 4823  

White male:                 4348 4385 4231 4516 4550 4203 4285 4408 4570

Compute a 95% confidence interval for the true average difference between best price offered black females and white males   

Solution

First prepare a table finding the difference, its average and std deviation.

Conf interval = (-106.021, 187.4936)