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Worked Examples · Example 5
Q.

A firm surveyed 100 employees to see whether attitude towards a proposed new HR policy (For / Against) is independent of gender. The results were:

ForAgainstTotal
Male302050
Female252550
Total5545100

Test, at the 5% level of significance, whether attitude towards the policy is independent of gender.

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Step 1 - Hypotheses:

H0H_0: Attitude towards the policy is independent of gender.

H1H_1: Attitude towards the policy is associated with (not independent of) gender.

Step 2 - Expected frequencies, E=Row Total×Column TotalGrand TotalE = \dfrac{\text{Row Total}\times\text{Column Total}}{\text{Grand Total}}:

E11=50×55100=27.5E_{11} = \dfrac{50\times55}{100} = 27.5 (Male, For)

E12=50×45100=22.5E_{12} = \dfrac{50\times45}{100} = 22.5 (Male, Against)

E21=50×55100=27.5E_{21} = \dfrac{50\times55}{100} = 27.5 (Female, For)

E22=50×45100=22.5E_{22} = \dfrac{50\times45}{100} = 22.5 (Female, Against)

Step 3 - Test statistic:

χ2=∑(O−E)2E=(30−27.5)227.5+(20−22.5)222.5+(25−27.5)227.5+(25−22.5)222.5\chi^2 = \sum\dfrac{(O-E)^2}{E} = \dfrac{(30-27.5)^2}{27.5} + \dfrac{(20-22.5)^2}{22.5} + \dfrac{(25-27.5)^2}{27.5} + \dfrac{(25-22.5)^2}{22.5}

=6.2527.5+6.2522.5+6.2527.5+6.2522.5≈0.227+0.278+0.227+0.278=1.01= \dfrac{6.25}{27.5} + \dfrac{6.25}{22.5} + \dfrac{6.25}{27.5} + \dfrac{6.25}{22.5} \approx 0.227 + 0.278 + 0.227 + 0.278 = 1.01

Check (cross-verify with the 2x2 shortcut formula): with a=30,b=20,c=25,d=25a=30, b=20, c=25, d=25, N=100N=100:

χ2=N(ad−bc)2(a+b)(c+d)(a+c)(b+d)=100×(30×25−20×25)250×50×55×45=100×25026,187,500=6,250,0006,187,500≈1.01\chi^2 = \dfrac{N(ad-bc)^2}{(a+b)(c+d)(a+c)(b+d)} = \dfrac{100\times(30\times25-20\times25)^2}{50\times50\times55\times45} = \dfrac{100\times250^2}{6{,}187{,}500} = \dfrac{6{,}250{,}000}{6{,}187{,}500} \approx 1.01 …

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