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Chi-Square Test

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March 23 2022
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What does a chi-square test tell you?

The chi-square test is a hypothesis testing method for the relationship between two categorical variables. This test shows whether the existing relationship is statistically significant or not.  Both  nominal and ordinal variables can be tested and represented by a bivariate table. In other words, it tells us whether two variables are independent of one another.

A chi-square test is a statistical test used to compare observed results with expected results. The study shows whether the relationship between two variables is due to chance or there exists an actual association in real life. 

What are the assumptions for chi square tests?:

  1.   The data for analysis  should be in frequencies, although the chi-square test is conducted in terms of frequencies or data that can be readily transformed into frequency, it is best viewed conceptually as a test about proportions.
  2. The chi-square test is applied only to discrete data. However, any continuous data can be converted  to categories in such a way that they can be considered as discrete data and then the application of chi-square is justified.
  3. The x2 is applied when there is quantitative data.
  4. The observation should be independent.
  5. If there are only two cells, the expected frequencies in each cell should be 5 or more. Because for observation less than 5, the value of x 2 shall be overestimated, resulting in the rejection of the null hypothesis.
  6. A sample with a sufficiently large size is assumed. If sample size is small then x 2 will yield an inaccurate inference. In general, larger the sample size, the less affected by chance is the observed distribution, and thus the more reliable the test of the hypothesis.
  7. The data should be expressed in original units, rather than in percentage or ratio form. Such precaution helps in comparison of attributes of interest.

Is chi square test descriptive or inferential statistics?

Chi-Square is a inferential statistical test which is used to check the interdependence of two or more variables. It is best used for categorical or nominal variables but  ordinal variables can also be compared.

How do you carry out the chi square test?

Calculate the chi square statistic (χ2) by completing the following steps:

  1. Calculate the expected frequencies and the observed frequencies.
  2. For each observed number in the table subtract the corresponding expected number (O — E).
  3. Square the difference (O —E)².
  4. Divide the squares obtained for each cell in the table by the expected number for that cell (O – E)² / E.
  5. Sum all the values for (O – E)² / E. This is the chi square test. 

What does p 0.05 mean in chi square test?

Based on the p value, we either reject the null hypothesis or do not reject the null hypothesis. If p value is less than 0.05 we reject the null hypothesis, if it is more than 0.05 we donot reject the null hypothesis. The null hypothesis cannot be accepted, it has to be either rejected or not rejected. 

What are the advantages of the chi-square test?

  1. It is robust with respect to the distribution of the data
  2. Easy computation
  3. Detailed summary of the variable components
  4.   Used in studies where parametric assumptions cannot be met
  5. Two group and multiple groups comparisons can be done 

What are the limitations of Chi-Square Test? 

 

The chi-square test is sensitive to the sample size. With large sample, even trivial relationships between variable can appear to be statistically significant. When using the chi-square test, you should keep in mind that “statistically significant” doesn’t necessarily mean “meaningful.”

Second, remember that the chi-square can only tell us whether two variables are related to one another. It does not necessarily imply that one variable has any causal effect on the other. In order to establish causality, a more detailed analysis would be required.

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