In this question, we are going to perform a Chi-square goodness of fit test(Homogeneity). The reason is because if the self-reported sub-groups of Asians in the Manhattan area fit that of the Lake Tahoe area then, they have the same distribution.
The hypotheses tested are,
H0: self-reported sub-groups of Asians in the Manhattan area fit that of the Lake Tahoe area
Against
H1: self-reported sub-groups of Asians in the Manhattan area do not fit that of the Lake Tahoe area
We first determine the expected count for each cell using the formula below,
Eij=(ri∗cj)/n, i=1,2,3,....,7 & j=1,2, where ri is the corresponding row total for each cell and cj is the corresponding column total for each cell. n=2901 is the sample size(total number of Asians in both regions).
The expected counts are as follows,
E11=(r1∗c1)/n=(1482∗305)/2901=155.81
E12=(r1∗c2)/n=(1419∗305)/2901=149.19
E21=(r2∗c1)/n=(1482∗738)/2901=377.01
E22=(r2∗c2)/n=(1419∗738)/2901=360.99
E31=(r3∗c1)/n=(1482∗1563)/2901=798.47
E32=(r3∗c2)/n=(1419∗1563)/2901=764.53
E41=(r4∗c1)/n=(1482∗134)/2901=68.46
E42=(r4∗c2)/n=(1419∗134)/2901=65.54
E51=(r5∗c1)/n=(1482∗41)/2901=20.95
E52=(r5∗c2)/n=(1419∗41)/2901=20.05
E61=(r6∗c1)/n=(1482∗30)/2901=15.33
E62=(r6∗c2)/n=(1419∗30)/2901=14.67
E71=(r7∗c1)/n=(1482∗90)/2901=45.98
E72=(r7∗c2)/n=(1419∗90)/2901=44.02
Next is to determine the test statistic given as,
χc2=i=1∑7j=1∑2(Oij−Eij)2/Eij
Now,
χc2=(131−155.81)2/155.81+(174−149.19)2/149.19+(181−377.01)2/377.01+(557−360.99)2/360.99+(1045−798.47)2/798.47+(518−764.53)2/764.53+(80−68.46)2/68.46+(54−65.54)2/65.54+(12−20.95)2/20.95+(29−20.05)2/20.05+(9−15.33)2/15.33+(21−14.67)2/14.67+(24−45.98)2/45.98+(66−44.02)2/44.02=410.6408(4dp)
χc2 is compared with the table value at α level of significance with (r−1)∗(c−1)=(7−1)∗(2−1)=6∗1=6 degrees of freedom.
The table value is χα=0.05,62=12.5916 and the null hypothesis is rejected if, χc2>χ0.05,62.
Since χc2=410.6408>χ0.05,62=12.5916, we reject the null hypothesis and conclude that there is no sufficient evidence to show that the self-reported sub-groups of Asians in the Manhattan area fit that of the Lake Tahoe area at 5% level of significance.
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