A Survey Conducted in a Small Business Yielded the Results

question 23

Essay

A survey conducted in a small business yielded the results shown in the table. $$\begin{array} { l | c c } & \text { Men}&\text { Women } \\\hline \text { Health insurance } & 50 & 20 \\\hline \text { No health insurance } & 30 & 10\end{array}$$ i) Test the claim that health care coverage is independent of gender. Use a 0.05
significance level.
ii) Using Yates' correction, replace $\sum { \frac { ( \mathrm { O } - \mathrm { E } ) ^ { 2 } } { E } } \text { with } \sum { \frac { ( | \mathrm { O } - \mathrm { E } | - 0.5 ) ^ { 2 } } { E } }$ and repeat the test.
What effect does Yates' correction have on the value of the test statistic?

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Definitions:

Rural Areas

Regions of land that are not densely populated and are often characterized by farming or natural settings.

Agriculture

The practice of cultivating the soil, growing crops, and raising livestock for the purpose of food production or other agricultural products.

Urban Areas

Densely populated regions that are characterized by significant built environment and infrastructure, including cities and towns.

Developing World

Nations with a lower living standard, undeveloped industrial base, and low Human Development Index relative to other countries.