In: Statistics and Probability
On the most recent tax cut proposal, a random sample of
Democrats and
Republicans in the Congress cast their votes as follows. Are the
votes of Democrats and
Republicans independent of each other?
a. State the null and alternative hypotheses.
b. What is the test statistic?
c. Using a .05 significance level, what is the decision rule?
d. Show the test statistic and essential calculations.
e. Interpret you results
Favor Oppose Abstain
85 78 37 Democrat
118 61 25 Republican
Since this is a test if the votes of Democrats and
Republicans independent of each other. So we will use a chi-square
test for independence.
Observations | Favor | Oppose | Abstain | Total |
Democrat | 85 | 78 | 37 | 200 |
Republican | 118 | 61 | 25 | 204 |
total | 203 | 139 | 62 | 404 |
Expected value = Row total * Col total / Overall total
Eg: Expected Democrat and Favor = 200 * 203 / 404
Expected | Favor | Oppose | Abstain | Total |
Democrat | 100.495 | 68.812 | 30.693 | 200 |
Republican | 102.505 | 70.188 | 31.307 | 204 |
total | 203 | 139 | 62 | 404 |
a. State the null and alternative hypotheses.
:The votes of Democrats and Republicans are independent of each other
:The votes of Democrats and Republicans are not independent of each other
b. What is the test statistic?
Test Stat =
Favor | Oppose | Abstain | |
Democrat | 2.3891 | 1.2268 | 1.2960 |
Republican | 2.3423 | 1.2028 | 1.2706 |
Test Stat = 9.7276
c. Using a .05 significance level, what is the decision
rule?
Decision criteria: Reject the null hypothesis if |test Stat| > Critical value
d. Show the test statistic and essential
calculations.
Critical value =
df = (no. of rows-1) * (no. of col -1)
= 2 * 1
= 2
At level of significance = 0.05
Critical value =
C.V. = 5.9915 ............using chi -square tables with df = 2 and p = 0.05
e. Interpret you results
Since Test Stat > C.V.
We reject the null hypothesis at 5% level of significance.
We conclude that the votes of Democrats and Republicans are not independent of each other.