The formula to calculate the confidence coefficient is:
\[ C = 1 - \alpha \]
Where:
The confidence coefficient, also known as the confidence level, is a measure of the reliability of an estimate. It represents the proportion of times that the confidence interval would contain the true parameter if the same population were sampled multiple times. A higher confidence coefficient indicates a higher level of confidence in the estimate. For example, a 95% confidence coefficient means that if the same population were sampled 100 times, the confidence interval would contain the true parameter 95 times out of 100.
Let's assume the following value:
Using the formula to calculate the confidence coefficient:
\[ C = 1 - 0.05 = 0.95 \]
The confidence coefficient is 0.95 or 95%.
