Bethlehem University

Faculty of Business
Project

Econ 234
Student Name:
Student Number:
Project Number:

Supervisor: Mahmoud Breighith

Spring 2016

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Contents
No Content P.
1 Means of age and all exams 3
Testing the difference between two means of two dependent normal
2 3
populations
Testing the difference between two means of two independent normal
3 4
populations
4 Tests the independence of two variables(Chi-Square) 5
5 One-Way Analysis of Variance ( One-Way ANOVA) 6
6 Benferroni, Tukey post hoc and Scheffe 7
7 One Way Repeated Measures ANOVA 9
8 Two-Way Analysis of Variance ( Two Way ANOVA ) 11
ANCOVA - analysis of covariance - One-Way Analysis of Covariance for
9 12
Independent Samples
10 Two Way Repeated Measure ANOVA(SPSS only) 13
11 Multi-Way Repeated Measures ANOVA ( SPSS only ) 15
12 Cronbach's alpha ( ) 17

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The means of age and all exams are given in the following table:

1. Testing the difference between two means of two dependent normal

populations

Dependent t-test is used when we have two experimental conditions and the same participant
has been used in two conditions. We are looking at differences between two pairs of scores.
Assumptions of t-test
a. Data are from normally distributed populations.
b. Data are measured at least at the interval level.

Test the null hypothesis that the mean of Second French exam is equal the mean of Third French
by using 0.05 as a level of significance.

Hypotheses: H0: u x u y , H1: u x u y

SPSS Solution:
Procedure: Testing the difference between two means of two dependent normal Populations.
Analyze Compare Means Paired-Samples T Test Paired Variables [ Insert
the two variables ] Continue O.K.

Report: The mean of two exams are 53.325 and 55.279 respectively with standard
deviations 9.1269 and 9.4505.
The statistic value is 3.878. P-value is 0.001 < 0.05 so we reject H0 that is to say
the two means are not equal.

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2. Testing the difference between two means of two independent normal
Populations

Independent t-test is used when we have two experimental conditions and two different
participants have been used in each condition. We are looking at differences between two groups.

At = 0.05 as a level of significant test the null hypothesis that the means of males and females
in Second French exam are equal.

Hypotheses: H0: u x u y , H1: u x u y .

SPSS Solution
Procedure: Testing the difference between two means of two independent normal populations.
Analyze Compare Means Independent-Samples T Test Test Variable(s) [ Dependent
variable ] Grouping Variable [ Independent factors ] Define Groups [ ] Use
specified Values Group 1 [ Code of Group one ] Group 2 [ Code of Group two ]
continue] Continue O.K.

Report: The means of males and females are 54.817 and 51.833.
Levenes statistic value is 1.197 with P-value 0.286 > 0.05 so accept the null hypothesis that the
two variances are equal.
Equal variances are assumed then the statistic value is 0.794 and P-value is 0.436 > 0.05, so
we fail to reject H0 , that to say the two means are equal.

3 Tests the independence of two variables(Chi-Square)

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One of the most important use of 2 , is used to test whether the given two variables are
independent or dependent.
Assumptions
1. We intend to test the hypothesis that the row variable and the column variable are
independent.
2. The data are randomly selected.
3. For every cell in the contingency table, the expected frequency E is at least 5.
4. Tests of independence with contingency table involve only right-tailed test.

Test the null hypothesis that The country is independent of Q10 by using 0.05 as a level of
significance.

Hypotheses:
H0: The country is independent of Q10.
H1: The country is dependent on Q10.
SPSS Solution
Procedure: Independence of two variables.
Analyze Descriptive Statistics Crosstabs Rows [Country] Columns [Q10]
Cells [ ] Observed [ ] Expected Continue Statistics [ ] Chi-square
Continue O.K.

Report: Table one gives the observed and expected values. The statistic value is 2.779, degree of
freedom is 3 and P-value is 0.427> 0.05, so we fail to reject H0. That is to say the two
variables are independent.

4. One-Way Analysis of Variance ( One-Way ANOVA)

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In this test we are going to discuss the effect of one independent variable with three levels or
more on a continuous dependent variable.

Assumptions
1. The populations are normally distributed or approximately normally distributed. That is to say
the dependent variable is normal or approximately normal at each level of the independent
variable.
2. The populations are independent. That is to say the scores of the dependent variable in
different levels are independent.
3. The populations variances are equal. That is to say the variances of the levels are equal( the
levels are homogeneous

Use a 0.05 significance level to test the null hypothesis that the people in four countries Egypt,
Palestine, Jordan and Syria have the same mean in first French exam.

Hypotheses: H0: u1 u 2 u3 u 4 , H1: Not all means are equal

SPSS Solution
Procedure: One Way ANOVA
Analyze Compare Means One-Way ANOVA Dependent List [FirstFE] Factor
[Country] O.K.

Report: This table provides Statistic value is 8.094, degree of freedoms ( 3, 20), and P-value is
0.001. Since the P-value 0.001 < 0.05 we reject the null hypothesis. That is to say the means of
groups are not equal.

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5. Benferroni, Tukey post hoc and Scheffe

Assumptions: ( One-Way ANOVA)

1. The populations are normally distributed or approximately normally distributed. That is to say
the dependent variable is normal or approximately normal at each level of the independent
variable.
2. The populations are independent. That is to say the scores of the dependent variable in
different levels are independent.
3. The populations variances are equal. That is to say the variances of the levels are equal( the
levels are homogeneous)

Assumptions: (Benferroni, Tukey post hoc and Scheffe )

1. Are conducted when the null hypothesis is rejected in ANOVA problem.
2. Tukey test is only usable when the sample sizes are the same.
3. Scheffe and Benferroni tests are usable when the sample sizes are unequal or the same.

Use a 0.05 significance level to test the null hypothesis that the people in four countries Egypt,
Palestine, Jordan and Syria have the same mean in third German exam

Hypothesis: H0: u1 u 2 u 3 u 4 , H1: Not all means are equal.

SPSS Solution
Procedure: One Way ANOVA
Analyze Compare Means One-Way ANOVA Dependent List [ThirdGE] Factor
[Country] Post-Hoc [ ] Benferroni [ ] Tukey [ ] cheffe Significance Level
[ ] Continue O.K.

Report: Statistic value is 137.201, degree of freedoms ( 3, 20) and P-value is 0.000. Since the P-
value 0.000 < 0.05 we reject the null hypothesis. That is to say the means of four countries are
not equal.

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Report: Tukey test indicates that the means Palestine and Jordan, Palestine and Egypy, Paletine
and Syria, Jordan and Egypt, Jordan and Syria are not equal ( P-values are 0.012, 0.00, 0.00,
0.00, 0.00 all < 0.05 ), while the means of Egypt and Syria are equal ( P-value is 0.999 >0.05).
Scheffe test indicates that the means Palestine and Jordan, Palestine and Egypy, Paletine and
Syria, Jordan and Egypt, Jordan and Syria are not equal ( P-values are 0.021, 0.00, 0.00, 0.00,
0.00 all < 0.05 ), while the means of Egypt and Syria are equal ( P-value is 0.999 > 0.05).
Bonferroni test indicates that the means Palestine and Jordan, Palestine and Egypy, Paletine
and Syria, Jordan and Egypt, Jordan and Syria are not equal ( P-values are 0.014, 0.000, 0.000,
0.000, 0.000 all < 0.05 ), while the means of Egypt and Syria are equal ( P-value is 1 > 0.05).

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6. One Way Repeated Measures ANOVA

Remarks
1. This test is an extension of the dependent t-test.
2. This particular test is used when we have three or more experimental conditions and
the same participant has been used in these conditions. We are looking at differences
between these conditions.
3. The Repeated Measures ANOVA is used for two types of studies. Studies that
investigate either (a) changes in mean scores over three or more time points, or
(b) differences in mean scores under three or more different conditions.
4. The major advantage with running a Repeated Measures ANOVA over an independent
ANOVA is that the test is generally much more powerful. This particular advantage is
achieved by the reduction in MSerror ( mean of sum of squares of error variability).

Use = 0.05 as a significant level to test the null hypothesis that the means of three second
exams in English, German and French are equal

Hypotheses: H 0 : 1 2 3 , H1 : At least two means are significantly different.

SPSS Solution
Procedure: One Way Repeated Measures ANOVA
Analyze General Linear Model Repeated Measures Within-Subeject Factor Name
[ Time ] Number of levels [ 3 ] Add Define Within-Subjects variables Time(1):
[SecondEE, SecondGE, SecondFE ] O.K.

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Report:
Sphericity assumption:
In this example, the Mauchly Sphericity test is significant, that is to say the sphericity is not
assumed (P-value = 0.000 < 0.05 ).
Sphericity assumption was not satisfied for these data so ignore all the rows labeled Sphericity
Assumed, Greenhouse-Geisser, and Lower bound. In this case, look at the row labelled
"Huynh-Feldt" . In this case, we can see that there is a highly significant effect of the Time
variable since the p-value is 0.000 < 0.05( The means are not equal). The statistic value is
F (1.229,28.267 ) = 18.234.

Note: If the assumption of sphericity is assumed you would have considered the rows labelled
Sphericity Assumed, you would have reported the results as: F(2,46)=18.234, P-value =
0.000 <0 .05.

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7. Two-Way Analysis of Variance ( Two Way ANOVA )

The two-way analysis of variance is an extension of one-way analysis of variance. There are two
independent variables. The idea is that there are two variables which effect the dependent
variable. Each variable has two or more levels.

Assumptions
1. The populations are normally or approximately normally distributed.
2. Dependent variable is either interval or ratio.
3. The samples are independent.
4. The variances of the populations must equal.
5. The groups must have the same sample size.

Hypotheses
Use 0.05 as a level of significant. We have three sets of hypotheses:
H0A: The scores of third English exam does not depend on the gender.
H0B: The scores of third English exam does not depend on the country.
H0AB: There is no interaction between gender and country in the third English exam
H1A: The scores of third English exam does depend on the gender.
H1B: The scores of third English exam does depend on the country.
H1AB: There is an interaction between gender and country in the third English exam.

SPSS Solution
Procedure: Two Way ANOVA
Analyze General Linear Model Univariate Dependent Variable [ThirdEE] Fixed
Factor(s) [Gender & Country ] O.K.

Report: This table provides:

FA FGender 0.016 and P-value =0.0.902 0.05, so we fail to reject H 0A. There is no
significant evidence that the gender has an effect on the third English exam.
FB FCountry 10.509 and P-value = 0.000 < 0.05, so we reject H0B. There is a significant
evidence that the country has an effect on the third English exam .
FAB FGender*Country 0.344 and P-value =0 .794 > 0.05, so we fail to reject H0AB. There is no
significant evidence that the interaction has an effect on the third English exam.

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8. ANCOVA - analysis of covariance
One-Way Analysis of Covariance for Independent Samples

Covariance is a measure of how much two variables change together and how strong the
relationship is between them.
Assumptions of ANCOVA
1. Randomness and Independent Sampling: Observations must be randomly sampled from the
population and independent from each other.
2. Normality: There must be a normal distribution of the dependent variable in the population.
3. Homogeneity of Variances: The variances of the dependent variable must be equal for all
levels of the independent variable and the covariance.
4. Homogeneity of Regression Slopes: The slope of the line predicting the dependent variable
from the covariance must be equal for each level of the independent variable. That is, the
covariance must not have differential effects on the dependent variable at different levels of
the independent variable. This assumption is violated when there is a significant interaction
between the independent variable and the covariance. If this assumption is violated, ANCOVA
should not be performed.

Use 0.05 as a level of significant to that the means of third exams in English, German and
French are equal assuming that the first exams in English, German and French are the prior
measures of basic language familiarity.

Note:
1. Insert the three third exams in English, German and French in one column and call it ThirdE.
2. Insert the three first exams in English, German and French in other column and call it FirstE.
3. In a new column insert a code 1 for English, 2 for German and 3 for French.

Hypotheses:
H 0 : 1 2 3 .
H1 : At least two means are significantly different.

SPSS Solution
Procedure: ANCOVA
Analyze General Linear Model Univariate Dependent Variable [ThirdE] Fixed
Factor(s) [ Code ] Covariate(s) [FirstE] O.K.

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Report
This table gives the statistic value of Code F ( 2,68) = 19.994 and P-value 0.000 < 0.05.
Upon this result we reject the null hypothesis that the dependent has different means, that is to
say there is a significant evidence the methods have different effects.

9. Two Way Repeated Measures ANOVA

The two way part of the name simply means that two independent variables have been
manipulated in the experiment. The repeated measures part of the name tells us that the same
participants have been used in all conditions. The ANOVA part tells us that were comparing
variances (i.e. were looking at differences between means). Therefore, this design is used when
you have two repeated-measures independent variables: each subject does all of the conditions in
the experiment, and provides a score for each permutation of the two variables.

Hypotheses: Test the following null hypothesis by using 0.05 as a level of significance:
H0A: There is no significant effect of the factor language( English, German and French ).
H0B: There is no significant effect of the factor Exam( first, second and third).
H0AB: There is no interaction between the two factors language and Exam.
H1A: There is a significant effect of the factor language( English, German and French ).
H1B: There is a significant effect of the factor Exam( first, second and third).
H1AB: There is a interaction between the two factors language and Exam.

SPSS Solution
Procedure: Two Way Repeated Measures ANOVA
Analyze General Linear Model Repeated Measures Within-Subject Factor Name [
( Language ) instead of ( factor 1 ) ] Number of Levels [ 3 ] Add Within-Subject
Factor Name [ (Exam) instead of ( factor 2 ) ] Number of Levels [ 3 ] Add Define
Within-Subjects Variables ( Language, Exam): [FirstEE, SecondEE, ThirdEE, FirstGE,
SecondGE, ThirdGE , FirstFE, SecondFE, ThirdFE, ] O.K.

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Report: Mauchlys sphericity for Language effect is not assumed ( p-value 0.00 < 0.05 ) so we
need to correct the F-ratios for this effect. We should report that there is a significant effect for
Language factor: Statistic value is F(1.171,26.931) = 17.393 and P-value = 0.000 < 0.05.
Mauchlys sphericity is assumed for Exam effect ( P-value = 0.311 > 0.05) so we dont need to
correct the F-ratio for this effect: We should report that there is a significant effect for Exam
factor: Statistic value is F(2, 46) = 191.806 and P-value = 0.000 < 0.05.
Mauchlys sphericity for Interaction effect ( Language*Exam ) is not assumed ( p-value 0.029
< 0.05 ) so we need to correct the F-ratios for this effect. We should report that there is a
significant effect for Interaction factor: Statistic value is (F(3.568,82.067) = 7.616 and P-value
= 0.000 < 0.
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10. Multi-Way Repeated Measures ANOVA

The multi-way part of the name simply means that three or more independent variables have
been manipulated in the experiment. The repeated measures part of the name tells us that the
part of participants have been used in several conditions. The ANOVA part tells us that were
comparing variances (i.e. were looking at differences between means). Therefore, this design is
used when you have three or more repeated-measures independent variables: each subject does
part of the conditions in the experiment, and provides a score for each permutation of the multi
variables.

Hypotheses: Test the following null hypothesis by using 0.05 as a level of significance:
H0A: There is no significant effect of the factor EnglishE(first, second, third).
H0B: There is no interaction between the two factors Gender and EnglishE.
H0C: There is no interaction between the two factors Country and EnglishE.
H0D: There is no interaction between the three factors Gender, Country and EnglishE
H1A: There is a significant effect of the factor EnglishE(first, second, third).
H1B: There is an interaction between the two factors Gender and EnglishE.
H1C: There is an interaction between the two factors Country and EnglishE.
H1D: There is an interaction between the three factors Gender, Country and EnglishE

SPSS Solution
SPSS Procedure: Multi-Way Repeated Measures ANOVA
Analyze General Linear Model Repeated Measures Within-Subject Factor Name: [EnglishE]
Number of levels [ 3 ] Add Define Within-Subjects variables Trials(1): [FirstEE,
SecondEE, ThirdEE] Between-Subject Factor(s): [Gender & Country] O.K.

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Report: Sphericity is not assumed for the factor EnglishE ( P- vlalue = 0.032 < 0.05) so we need to
correct the F-ratios for EnglishE and all its interaction effects. We should report:
There is a significant effect for EnglishE factor, Statistic value is F(2,32) = 76.549 and P-value =
0.000 < 0.05.
There is no significant effect of the interaction EnglishE *Gender factor, statistic value is F(2, 32) =
0.559 and P-value = 0.557 > 0.05.
There is a significant effect of the interaction EnglishE *Country factor, statistic value F(6, 32) = 4.803
and P-value = 0.001 < 0.05.
There is no significant effect of the interaction EnglishE*Genderand *Country factor, statistic value
F(6, 32) = 0.341 and P-value = 0.910 > 0.05.

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11. Cronbach's alpha ( )

Definition:
Cronbach's alpha is a statistic for investigating the internal consistency of a questionnaire.
Range of alpha ( )
Value of alpha () lies between and 1. Positive values of make sense.

Range of Internal consistency

0.9 Excellent
0.8 0.9 Good
0.7 0.8 Acceptable
0.6 0.7 Questionable
0.5 0.6 Poor
0 .5 Unacceptable

Likert Scale: is a five (or seven) point scale which is used to allow the individual to express how
much they agree or disagree with a particular statement.
Examples:
1. Strongly agree / agree / dont know / disagree / strongly disagree.
2. Very interested, Somewhat Interested, Natural, Not Very Interested, Not all Interested.
3. Very much, Somewhat, undecided, Not Really, Not at all.

Example: A researcher has a ten-question questionnaire to measure students pleasure with their
graduate program at Bethlehem University.

Strongly Strongly
No Question
Disagree Agree
Q1 My advisor is knowledgeable about my program 1 2 3 4 5
Q2 It is easy to get an appointment with my advisor 1 2 3 4 5
Q3 My advisor cares about me as a person 1 2 3 4 5
Q4 My advisor considers me a professional 1 2 3 4 5
Q5 The course requirement for my major are 1 2 3 4 5
appropriate
Q6 The course requirements for my major will help 1 2 3 4 5
me get a job in my discipline
Q7 My graduate program allows me adequate 1 2 3 4 5
flexibility
Q8 Upon graduation, I anticipate I will not have any 1 2 3 4 5
problems finding a position in my discipline
Q9 My graduate program needs to be updated 1 2 3 4 5
Q10 The quality of the courses required in my major is 1 2 3 4 5
adequate

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SPSS Solution
Procedure: Cronbach's alpha ( )
Analyze Scale Reliability Analysis items [ Q1,Q2,,Q10] Statistics Reliability
Analysis Descriptive for [ ] Scale if item deleted Continue O.K.

Report: We can see that in our example, Cronbach's alpha is 0.538, which indicates a poor level
of internal consistency for our scale with this specific sample.
We can see that removal of any question except questions 2 and 4, will lower Cronbach's alpha.
Therefore, we would not want to remove these questions. Removal of questions 2 and 4 would
lead to small improvements in Cronbach's alpha.

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