Question

7. (18 pts) A study wants to compare the perception of unfairness of U.S. tax code for two difference income groups in the nation. A sample is collected from each group and the results are as follows. Perception of U.S. Tax Code Income Level Less Than $50,000 More Than $50,000 Fair 22 18 Unfair 28 32 At the α = 0.05 level of significance, is there evidence of a difference in the perception of unfairness between the two income groups? (Hint: You need to find the row totals and column totals, and overall totals by yourself.)

Answer 1

	<50000	>50000	total
fair	22	18	40
unfair	28	32	60
total	50	50	100

from above as test statistic is not in rejection region; we can not reject null hypothesis

we do not have evidence to conclude that there is significant evidence of a difference in the perception of unfairness between the two income groups