In 2015, Addison Group and Kelton surveyed the work preferences and attitudes of 1006 working adults spread over three generations — Baby Boomers, Generation X, and Millennials (Society for Human Resource Management website). One question asked individuals if they would leave their current job to make more money at another job. The file Millennials contains the sample data, which is also summarized in the following table. Generation Leave Job for More Money? Baby Boomer Generation X Millennial Yes 129 152 164 No 207 183 171 Conduct a test of independence to determine whether interest in leaving a current job for more money is independent of employee generation. Compute the value of the x² test statistic (to 2 decimals). Do not round your intermediate calculation.
Answer:
We fail to reject the null hypothesis and conclude that interest in leaving a current job for more money is independent of employee generation. The value of test statistic is x² = 2.26.
The chi-square test was conducted to determine whether interest in leaving a current job for more money is independent of employee generation. The data was summarized in the following table:
Leave Job for More Money?
Baby Boomer Yes (129)
Generation X Yes (152)
Millennials Yes (164)
The null hypothesis was that the interest in leaving a current job for more money is independent of employee generation, and the alternative hypothesis was that there is a significant association between the two variables.
The expected frequencies under the null hypothesis were calculated, and the chi-square statistic was found to be 2.26. Using a chi-square distribution table with 2 degrees of freedom and a significance level of 0.05, the critical value was 5.99.
Since the calculated chi-square statistic (2.26) was less than the critical value (5.99), there was not enough evidence to suggest that interest in leaving a current job for more money is dependent on employee generation.
Therefore, we fail to reject the null hypothesis and conclude that interest in leaving a current job for more money is independent of employee generation.
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