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Statistics for Managers Using SPSS
Chapter 11
Chi-SquareTest of Independence
Chap 11-1
Goals
After completing this topic, you should be able to:
Construct contingency tables Display the observed counts, expected counts, and the relevant percentages in the table
Perform a 2 test of association/independence
Chap 11-2
Contingency Tables
Contingency Tables
Used to classify sample observations according to two or more characteristics Also called a cross-tabulation or crossclassification table.
Chap 11-3
Example: 2 x 2 Contingency Table
Research Question: Is there a significant relationship between gender and on-line shopping preference?
On-line shopping preference
Yes Male Gender Female Total 12 24 36 No 108 156 264 Total 120 180 300
Chap 11-4
2 test of association
This is a measure of association between two categorical variables (nominal vs nominal; ordinal vs ordinal; nominal vs ordinal)
H0: There is no relationship between two categorical variables H1: There is a relationship between the two categorical variables
Chap 11-5
Test of Hypothesis
Ho: No relationship between gender and on-line shopping preference H1: There is a relationship between gender and on-line shopping preference α = 0.05 Decision rule: Reject Ho of p-value < 0.05 State the 2 test statistics or p-value
Chap 11-6
Contingency Table Example
(continued)
Sample results organized in a contingency table:
sample size = n = 300: On-line shopping Preference Gender Female
120 Females, 12 prefer on-line shopping
180 Males, 24 prefer on-line shopping
Yes
12
No
108 120
Male
24
36
156
264
180
300
Chap 11-7
The Chi-Square Test Statistic
The Chi-square test statistic is:
( fo fe )2 2 fe all cells
where: fo = observed frequency in a particular cell fe = expected frequency in a particular cell if H0 is true 2 for the 2 x 2 case has 1 degree of freedom
(Assumed: each cell in...