In: Statistics and Probability
It has been suggusted that the highest priority of retirees is travel. Thus, a study was conducted to investigate the differences in the length of stay of a trip for pre- and post-retirees. A sample of 707 travelers were asked how long they stayed on a typical trip. The observed results of the study are found below.
Number of Nights | Pre-retirement | Post-retirement | Total |
4−7 | 244 | 162 | 406 |
8−13 | 83 | 72 | 155 |
14−21 | 32 | 59 | 91 |
22 or more | 21 | 34 | 55 |
Total | 380 | 327 | 707 |
With this information, construct a table of estimated expected
values.
Number of Nights | Pre-retirement | Post-retirement |
4−7 | ||
8−13 | ||
14−21 | ||
22 or more |
Now, with that information, determine whether the length of stay is
independent of retirement using ?=0.05
(a) ?2=
(b) Find the degrees of freedom:
(c) Find the critical value:
(d) The final conclusion is
A. We can reject the null hypothesis that the
length of stay is independent of retirement and accept the
alternative hypothesis that the two are dependent.
B. There is not sufficient evidence to reject the
null hypothesis that the length of stay is independent of
retirement.
The statistical software output for this problem is :
Test statistics = 24.591
Critical value = 7.815
Degrees of freedom = 3
A. We can reject the null hypothesis that the length of stay is independent of retirement and accept the alternative hypothesis that the two are dependent.