An economist read a report that claimed that 60% of residents in her large city owned their homes. She wondered if that figure was still accurate, so she took a random sample of n = 50 residents in the city and
observed that p = 70% of those sampled owned their homes.
To see how likely a sample like this was to happen by random chance alone, the economist performed a
simulation. She simulated 100 samples of n = 50 residents from a large population where 60% of the residents
owned their homes. She recorded the proportion of residents who owned their homes in each sample. Here are
the sample proportions from her 100 samples: