What method of testing would I use in PHStat within Excel to solve this problem? I used the 2 sample F test w/summarized data. Is that correct? Tensions between workers and management in a small electrical firm outside Chicago were discussed in a recent issue of Fortune. To combat unionization efforts, the company collected data on 16 firms that had a union structure and found the standard deviation in the length of electrical wire made to certain specifications to be 3.7 inches. Fifteen firms in which no union existed revealed a standard deviation of 2.4 inches. Management claimed that this was evidence that unionization often leads to failure to maintain standards. At the 10 percent significance level, do these statistics support management’s claim? Hint: Make sure to use test of variances and not test of means.
What method of testing would I use in PHStat within Excel to solve this problem? I used the 2 sample F test w/summarized data. Is that correct?
Tensions between workers and management in a small electrical firm outside Chicago were discussed in a recent issue of Fortune. To combat unionization efforts, the company collected data on 16 firms that had a union structure and found the standard deviation in the length of electrical wire made to certain specifications to be 3.7 inches. Fifteen firms in which no union existed revealed a standard deviation of 2.4 inches. Management claimed that this was evidence that unionization often leads to failure to maintain standards. At the 10 percent significance level, do these statistics support management’s claim? Hint: Make sure to use test of variances and not test of means.
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