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Test of significance for gamma

ORDINAL DATA: INFERENCE

A. Procedure for data without ties:
1. Compute gamma.
2. Determine N.
3. Look up p-value in table (see appendix). Note: a directional hypothesis (positive or negative is specified) uses a one-tailed test; a nondirectional hypothesis or null hypothesis uses a two-tailed test.

Example: Data without ties

Corporation# of favorable court decisions Amount of political contributions
C5500,000
D4300,000
Q3400,000
R2100,000
V1200,000

Q: Can this association be generalized to the whole population when the hypothesis says: "There is a positive association between decisions and contributions"?
A: Note that this is a directional hypothesis since "positive" is specified.

Compute gamma: fa & fi

00
10
11
30
31
8 = faN = 5 2 = fi

 

Now look up the Significant Probability Value (scroll to the upper right corner for gamma).  It will look something like this: (G =.60)

Two-tailed test One-tailed test
Np = .05p = .01 p = .05p = .01
51.000----- 0.8001.000
6

An N of 8 (0.571) is necessary, since the example's N is 5 (0.800> .60), it is not generalizeable.

B. Procedure for data with ties: Z =

Where: = |fa - fi |- {N / [2(R-l)(C-l)]}

fa & fi are computed same as for gamma

R = # of rows

C = # of columns

Assumptions: N > 10

Where: U2 = sum of product of row totals taken two at a time.
V2 = " " " " column totals taken two at a time.
U3 = " " " " row " " three " " " .
V3 = " " " " column " " " " " " .
*note if there is not a third row or column then U3 or V3 = 0

Example: Data with ties:

Attractiveness
Above Average
Medium
Below Average
VotesHi22 23651
receivedLo14 311459
3654 20110

Q: Can this be generalized to the whole population of elected officials?

A: = "corrected S" (called S hat)

= "standard error of corrected S"

= | 1312 - 592 | - 110/[2(2-1)(3-1)] = 692.5

U2 = 51(59) = 3009
V2 = 36(54) + 36(20) + 54(20) = 3744
U3 = 0
V3 = 36(54)(20) = 38880


=

so Z = 692.5 / 305.94 = 2.26

Look up Z on p - value table in appendix. p < .05 so yes, it can be generalized.

*This is not a directional hypothesis so it is a two-tailed test

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