Basic Practice of Statistics - 3rd Edition Chapter 6 Two-Way Tables BPS - 3rd Ed. Chapter 6 1 Categorical Variables In this chapter we will study the relationship between two categorical variables (variables whose values fall in groups or categories). To analyze categorical data, use the counts or percents of individuals that fall into various categories. BPS - 3rd Ed. Chapter 6 2 Two-Way Table When there are two categorical variables, the data are summarized in a two-way table – each row in the table represents a value of the row variable – each column of the table represents a value of the column variable The number of observations falling into each combination of categories is entered into each cell of the table BPS - 3rd Ed. Chapter 6 Chapter 6 3 1 Basic Practice of Statistics - 3rd Edition Marginal Distributions A distribution for a categorical variable tells how often each outcome occurred – totaling the values in each row of the table gives the marginal distribution of the row variable (totals are written in the right margin) – totaling the values in each column of the table gives the marginal distribution of the column variable (totals are written in the bottom margin) BPS - 3rd Ed. Chapter 6 4 Marginal Distributions It is usually more informative to display each marginal distribution in terms of percents rather than counts – each marginal total is divided by the table total to give the percents A bar graph could be used to graphically display marginal distributions for categorical variables BPS - 3rd Ed. Chapter 6 5 Case Study Age and Education (Statistical Abstract of the United States, 2001) Data from the U.S. Census Bureau for the year 2000 on the level of education reached by Americans of different ages. BPS - 3rd Ed. Chapter 6 Chapter 6 6 2 Basic Practice of Statistics - 3rd Edition Case Study Age and Education Variables Marginal distributions Chapter 6 BPS - 3rd Ed. 7 Case Study Age and Education Variables 15.9% 33.1% 25.4% 25.6% 21.6% 46.5% 32.0% Marginal distributions Chapter 6 BPS - 3rd Ed. 8 Case Study Age and Education Marginal Distribution for Education Level Not HS grad 15.9% HS grad 33.1% College 1-3 yrs 25.4% College ≥4 yrs 25.6% BPS - 3rd Ed. Chapter 6 Chapter 6 9 3 Basic Practice of Statistics - 3rd Edition Conditional Distributions Relationships between categorical variables are described by calculating appropriate percents from the counts given in the table – prevents misleading comparisons due to unequal sample sizes for different groups Chapter 6 BPS - 3rd Ed. 10 Case Study Age and Education Compare the 25-34 age group to the 3554 age group in terms of success in completing at least 4 years of college: Data are in thousands, so we have that 11,071,000 persons in the 25-34 age group have completed at least 4 years of college, compared to 23,160,000 persons in the 35-54 age group. The groups appear greatly different, but look at the group totals. Chapter 6 BPS - 3rd Ed. 11 Case Study Age and Education Compare the 25-34 age group to the 3554 age group in terms of success in completing at least 4 years of college: Change the counts to percents: 11,071 = .293 (29.3%) for 25 - 34 age group 37,786 23,160 = .284 (28.4%) for 35 - 54 age group 81,435 BPS - 3rd Ed. Chapter 6 Chapter 6 Now, with a fairer comparison using percents, the groups appear very similar. 12 4 Basic Practice of Statistics - 3rd Edition Case Study Age and Education If we compute the percent completing at least four years of college for all of the age groups, this would give us the conditional distribution of age, given that the education level is “completed at least 4 years of college”: Age: 25-34 35-54 55 and over Percent with ≥ 4 yrs college: 29.3% 28.4% 18.9% Chapter 6 BPS - 3rd Ed. 13 Conditional Distributions The conditional distribution of one variable can be calculated for each category of the other variable. These can be displayed using bar graphs. If the conditional distributions of the second variable are nearly the same for each category of the first variable, then we say that there is not an association between the two variables. If there are significant differences in the conditional distributions for each category, then we say that there is an association between the two variables. Chapter 6 BPS - 3rd Ed. 14 Case Study Age and Education Conditional Distributions of Age for each level of Education: BPS - 3rd Ed. Chapter 6 Chapter 6 15 5 Basic Practice of Statistics - 3rd Edition Simpson’s Paradox When studying the relationship between two variables, there may exist a lurking variable that creates a reversal in the direction of the relationship when the lurking variable is ignored as opposed to the direction of the relationship when the lurking variable is considered. The lurking variable creates subgroups, and failure to take these subgroups into consideration can lead to misleading conclusions regarding the association between the two variables. Chapter 6 BPS - 3rd Ed. 16 Discrimination? (Simpson’s Paradox) Consider the acceptance rates for the following group of men and women who applied to college. counts Accepted Not Total accepted percents Accepted Not accepted Men 198 162 360 Men 55% 45% Women 88 112 200 Women 44% 56% Total 286 274 560 A higher percentage of men were accepted: Discrimination? Chapter 6 BPS - 3rd Ed. 17 Discrimination? (Simpson’s Paradox) Lurking variable: Applications were split between the Business School (240) and the Art School (320). BUSINESS SCHOOL counts Accepted Not Total accepted percents Accepted Not accepted Men 18 102 120 Men 15% 85% Women 24 96 120 Women 20% 80% Total 42 198 240 A higher percentage of women were accepted in Business BPS - 3rd Ed. Chapter 6 Chapter 6 18 6 Basic Practice of Statistics - 3rd Edition Discrimination? (Simpson’s Paradox) Lurking variable: Applications were split between the Business School (240) and the Art School (320). ART SCHOOL Not counts Accepted Total accepted Men 180 60 Women 64 Total 244 percents Accepted Not accepted 240 Men 75% 25% 16 80 Women 80% 20% 76 320 A higher percentage of women were also accepted in Art BPS - 3rd Ed. Chapter 6 19 Discrimination? (Simpson’s Paradox) So within each school a higher percentage of women were accepted than men. There is not any discrimination against women!!! This is an example of Simpson’s Paradox. When the lurking variable (School applied to: Business or Art) is ignored the data seem to suggest discrimination against women. However, when the School is considered the association is reversed and suggests discrimination against men. BPS - 3rd Ed. Chapter 6 Chapter 6 20 7
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