Chapter 16

Wednesday, June 23rd

Wh t happens?
What h ?
Until now we learn,
How to treat one sample means
How to treat two sample means and compare their difference
What happens if I have 3 Stat 200 classes and I want to
compare their averages in a test. How am I going to
compare if they are different or not?
Or how I may compare if the mean gross income of the
Americans is the same among the 50 states.
P
Procedure
d
We use a different way of testing which is called
Analysis of Variance method, or ANOVA.
We can use ANOVA under the following
conditions:
The samples that I have should be independent
All populations should have the same standard
deviation
T ti procedure
Testing d
Since this is another way of testing all we will do
is to follow the five steps:
Step 1: Determine null and alternative hypothesis
Step 2: Verify conditions and if they are met calculate
test statistic
Step 3: Find the rejection region for the test
Step 4: Compare the rejection region with the value of
the test statistic
Step 5: Report your conclusion, based on the problem
WARNING!!
Due to the Tables we have available in our
book,, we cannot use p-value
p approach
pp
when we are doing testing by hand and so
we have to use the rejection
j region
g
approach
The p-value
p value approach can be used only
when we have Minitab output
T t statistic
Test t ti ti
Here we use for test statistic the F-
statistic,, which follows the F distribution.
MSG
Formula: F
MSE
The FF-distribution
distribution has two different
numerical characteristics:
Numerator
N t d
degrees off freedom
f d
Denominator degrees of freedom

We use Table A.4 to find Rejection Region

T t Statistic
Test St ti ti
First of all, we have to define MSE to be
the mean of squares
q of error. This is
actually equal to MSE SSE
dff error
Also we have to define MSG to be the
mean of squares of groups.
groups This is
equal to SSG
MSG
df Groups
G
T t Statistic
Test St ti ti
Now the formula is equal to

MSG
F
MSE
E
Example
l
I have four Stat 200 and I want to compare
their average in a common Midterm. So I
take a sample of 5 people from each
class. The results are
Class
Cl 1
1: 55, 6
65, 8
85, 90
90, 100
Class 2: 40, 80, 85, 85, 95
Class
Cl 3
3: 60
60, 65
65, 70
70, 75
75, 100
Class 4: 70, 80, 80, 85, 85
St 1
Step
Mi it b O
Minitab Output
t t
Source DF SS MS F P
Factor 3 105 35 0.13 0.941
Error 16 4320 270
Total 19 4425

S = 16
16.43
43 R
R-Sq
Sq = 2
2.37%
37% R
R-Sq(adj)
Sq(adj) =
0.00%
R j ti region
Rejection i
Let say that we have the Minitab output
but without the p-value.
p
How are we going to find the rejection
region?
Use the Tables.
M lti l C
Multiple Comparisons
i
Minitab also gives the 95% Confidence
Intervals for each class so that we can
reach a conclusion based on the
Confidence Intervals.
If the confidence intervals do not overlap
we have significant difference of the
means and if they overlap we dont have
means,
significant difference
M lti l comparisons
Multiple i
Individual 95% CIs For Mean Based on Pooled StDev

Level N Mean StDev --+---------+---------+---------+-----

+ + + +
Class 1 5 79.00 18.51 (---------------*---------------)
Class 2 5 77.00 21.39 (---------------*---------------)
( )
Class 3 5 74.00 15.57 (---------------*---------------)
Class 4 5 80.00 6.12 (---------------*---------------)
--+---------+---------+---------+-----
T
Two way ANOVA
Let say I want to see if the GPA is affected
by
y the type
yp of area a student was raised
(Big City, Small Town, Rural or Suburban)
and byy the fact that he is living
g off or on
campus.
What is the strange thing here?
E
Example
l