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Advanced Statistics Project Questions

AS4

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22 views1 page

Advanced Statistics Project Questions

AS4

Uploaded by

varun1641
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOCX, PDF, TXT or read online on Scribd
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1.

1 Perform a two-way ANOVA based on Salary with respect to both


Education and Occupation (along with their interaction
Education*Occupation). State the null and alternative hypotheses and
state your results. How will you interpret this result?

Answer:

The Null and Alternate Hypothesis for the Two Way ANOVA for each Education type and
Occupation level are:
H0: The mean Salary variable for each Occupation type and Education level are equal
Ha: For at least one of the means of Salary for type of Occupation and Education level are
not equal.

Where Alpha = 0.05


 If the p-value is < 0.05, then we reject the null hypothesis.
 If the p-value is >= 0.05, then we fail to reject the null hypothesis.

As we can see that there is some sort of interaction between the two treatments. So, we will
introduce a new term while performing the Two Way ANOVA.

Due to the inclusion of the interaction effect term, we can see changes in the p-value of the
first two treatments as compared to the Two-Way ANOVA without the interaction effect
terms. And we see that the p-value of the interaction effect term of 'Education’ suggests that
the Null Hypothesis is rejected in this case.

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