rchi-squaredhypothesis-test

How do I perform Chi-Squared test on categorical variable?

This might be a question that could be answered relatively quickly if I knew more terminology.

Am I correctly performing a chi-squared test for independence on the JOB variable?

CD %>% select(JOB, DEFAULT) %>%
table() %>% chisq.test()

unique(CD$JOB)
[1] SkilledEmployee/Official                         
[2] Unemployed/Unskilled:Resident                    
[3] Mgr/SelfEmployed/HighlyQualified Employee/Officer
[4] Unemployed/Unskilled:NonResident   
              
4 Levels

Thank You.

Solution

  • You Almost got it right. Null hypothesis would be that the categics are independent. H1 would be they are not independent.

    Run the test like this, there is no need for dplyr::select on the df CD.

    chisq.test(table(CD$JOB,CD$DEFAULT))