S3 June 2013 (R) Q3

EdexcelOld spec13 marksIncludes hypothesis testingCorrelation

3. The table below shows the population and the number of council employees for different towns and villages.

Town or villagePopulationNumber of council employees
\(A\)21110
\(B\)3562
\(C\)104712
\(D\)246321
\(E\)489216
\(F\)647925
\(G\)657167
\(H\)657345
\(I\)984548
\(J\)14 78434
(a) Find, to 3 decimal places, Spearman’s rank correlation coefficient between the population and the number of council employees. (5)
(b) Use your value of Spearman’s rank correlation coefficient to test for evidence of a positive correlation between the population and the number of council employees. Use a 2.5% significance level. State your hypotheses clearly. (4)

It is suggested that a product moment correlation coefficient would be a more suitable calculation in this case. The product moment correlation coefficient for these data is 0.627 to 3 decimal places.

(c) Use the value of the product moment correlation coefficient to test for evidence of a positive correlation between the population and the number of council employees. Use a 2.5% significance level. (2)
(d) Interpret and comment on your results from part (b) and part (c). (2)