5. For problem 5, first dummy code the variable DEGREE so that 1= bachelor's degree or higher, and 0 = below a bachelor's degree.(Old Values 0-2 = New Value 0; Old Value 3-4 = New Value =1). Name this new variable D_DEGREE.

Then, conduct an Independent Samples T Test to investigate whether individuals with a bachelor's degree or higher have higher incomes than those without a bachelor's degree. Use the Independent Samples T Test command with CONINC as the dependent variable (test variable) and D_DEGREE as the grouping variable. Define groups so that Group 1 = 1 and Group 2 = 0 (0 = below a bachelor's degree; 1 = bachelor's degree or higher). Set the alpha level at .05.

a. State the null and research hypotheses:

H₀:

H₁:

b. Is the F statistic for Levene's test significant?

c. What is the alpha level for the t-test?

d. Obtained t-value:

e. Significance level for the t-test:

f. Decision rule:

If the significance level of the obtained t statistic is greater than ____ (alpha level), we fail to reject the null hypothesis.

If the significance level of the obtained t statistic is equal to or less than ____ (alpha level), we reject the null hypothesis.

g. Decision: Since the significance level of the obtained t statistic is _____ and it is __________ (greater or less) than ____ (alpha level), we ________ (reject or fail to reject) the null hypothesis.

h. Interpretation/conclusion: