A recent sample of adults was asked their opinions regarding government spending
ID: 3432608 • Letter: A
Question
A recent sample of adults was asked their opinions regarding government spending on the environment and government spending on cities. The data are in the table below.
Test whether increased spending is favored in one area. Use a 5% level of significance. 1) Write out the appropriate null hypothesis and the alternative hypothesis; 2) Calculate the test statistic (show your work); 3) Give your conclusion including a comparison to alpha or the critical value.
Spending on the Environment Spending on cities Increase Decrease Increase 108 7 Decrease 159 29Explanation / Answer
1) Write out the appropriate null hypothesis and the alternative hypothesis;
Null hypothesis:increased spending is not favored in one area
Alternative hypothesis: increased spending is favored in one area
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2) Calculate the test statistic (show your work);
Increase Decrease Total Increase Observed 108 7 115 Expected 101.34 13.66 115.00 (O - E)