Chapter 3, Problem 40E

To determine

To Explain: for company B to fill a higher percentage of both par-time and full-time jobs along with local residents.

Explanation of Solution

Calculation:

	Full time jobs	Part time jobs	Total jobs
Company A	$\begin{array}{l}=\frac{30}{100}\\ =30\%\end{array}$	$\begin{array}{l}=\frac{180}{200}\\ =90\%\end{array}$	$\begin{array}{l}=\frac{210}{300}\\ =70\%\end{array}$
Company B	$\begin{array}{l}=\frac{85}{200}\\ =42.5\%\end{array}$	$\begin{array}{l}=\frac{95}{100}\\ =95\%\end{array}$	$\begin{array}{l}=\frac{180}{300}\\ =60\%\end{array}$

The above table represents that company fill a higher percentage of both part time jobs and full time jobs with local residents, even though company A hired more local residents almost overall. It is showing the Simpson’s paradox.