speaker who advises managers on how to avoid being unionized claims that only 25% of industrial workers favor union membership, 40% are indifferent, and 35% are opposed.

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A speaker who advises managers on how to avoid being unionized claims that only 25% of industrial workers favor union membership, 40% are indifferent, and 35% are opposed. In addition the advisor claims that these opinions are independent of actual union membership. A random sample of 600 industrial workers yields the following data:



 


Favor


Indifferent


Opposed


Total


Members


140


42


18


200


Non-members


70


198


132


400


Total


210


240


150


600

 

 

 

 

 

What do you think of the speaker’s claims?

 

 

 

 

 

For this you should:

 

 

 

i)      Test to see whether or not his claim of 25%, 40% and 35% is correct.

 

 

 

ii)      Test the hypothesis of independence.

 

 

 

iii)      Calculate percentages of workers in favor of unionization, indifferent, and opposed; separately for members and for non-members. Do the percentages suggest that there is a strong relation between membership and opinion?

 

 

 

iv)      Construct confidence intervals for the percentages in part iii) and interpret them.

 

 

 

 

    • 12 years ago
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