| Count | Income level | ||||
| < $30,000 | $30,000-$74,999 | $75,000 and up | Total | ||
| Education level | Post-Grad Degree | 2 | 8 | 46 | 56 |
| College Degree | 39 | 113 | 202 | 354 | |
| Some College | 131 | 138 | 120 | 389 | |
| HS Grad | 175 | 129 | 65 | 369 | |
| No HS Degree | 78 | 32 | 8 | 118 | |
| Total | 425 | 420 | 441 | 1,286 | |
Question 1
1) Make a conjecture. Do you think that income level and education level are independent? Explain.
Question 2
2) We will conduct a chi-square test of independence for the variables Income leveland Education level. What are the null and alternative hypotheses?
Question 3
Part B: Independence/Randomness Condition-Is the sample an independent random sample, or is it an independent sample that can be considered representative of the population? (Notice that this condition is very similar to the one for the chi-square test of homogeneity, but in this case, we are only considering one sample from one populationand not multiple samples from respective populations.) Is this conditionmet? Explain.
Question 4
Question 5
5) Recall from In-Class Activity 15.C that the standardized residuals are values that can be considered normal z-scores thatindicate how large of a difference there is between the observed count and the expected count for each cell. Interpret and compare the standardized residuals for individuals with post-graduate degreesand individuals with high school degrees.
Question 6
6) Based on the results of this test alone, can you assure someone that if they pursue more education, they will have a larger income? Explain. Hint: Since we have concluded that education level and income level are not independent, we have concluded that they are associatedin some way—but do we know how they are associated?
Question 7
7) We concluded from our hypothesis test that the variables Income leveland Education levelare not independent, but we do not know how they are associated. It could be that there is a third variable not included in our study that impacts the values of both of the variables we are considering. Such a variable is called alurking variable. Give an example of a lurking variable that could arise when considering the association of these two variables.
Question 8
8) Now that you’ve seen both the chi-square test of homogeneity and the chi-square test of independence in action, summarize the difference between the two tests in your own words.
- Pew Research Center. (2019). Core trends survey-Mobile technology and home broadband 2019 . https://www.pewresearch.org/internet/dataset/core-trends-survey/ ↵