Is the length of time of unemployment related to the type of industry? A random sample of unemployed workers from three different work sectors yielded the following data. Perform a hypothesis test at 0.01 level of significance to determine if there is a relationship. Less than 5 weeks 5-14 weeks 15-26 weeks Transportation 80 111 81 Information 54 75 40 Financial 81 105 118
Is the length of time of unemployment related to the type of industry? A random sample of unemployed workers from three different work sectors yielded the following data. Perform a hypothesis test at 0.01 level of significance to determine if there is a relationship. Less than 5 weeks 5-14 weeks 15-26 weeks Transportation 80 111 81 Information 54 75 40 Financial 81 105 118
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Transcribed Image Text:Is the length of time of unemployment related to the type of industry? A random sample of unemployed
workers from three different work sectors yielded the following data. Perform a hypothesis test at 0.01
level of significance to determine if there is a relationship.
Less than 5 weeks
5-14 weeks
15-26 weeks
Transportation
80
111
81
Information
54
75
40
Financial
81
105
118
What are the expected numbers? (round to 3 decimal places)
Less than 5 weeks
5-14 weeks
15-26 weeks
Transportation
Information
Financial
The hypotheses are
Ho: The length of unemployment is independent of the type of industry.
HA: The length of unemployment is dependent of the type of industry. (claim)
Since a =
0.01 the critical value is 13.277
The test value is:
(round to 3 decimal places)
The p-value is
(round to 3 decimal places)
So the decision is to
O reject Ho
O do not reject Ho
Thus the final conclusion is
O There is enough evidence to support the claim that the length of unemployment is dependent of the
type of industry.
There is not enough evidence to reject the claim that the length of unemployment is dependent of
the type of industry.
O There is enough evidence to reject the claim that the length of unemployment is dependent of the
type of industry.
O There is not enough evidence to support the claim that the length of unemployment is dependent of
the type of industry.
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