One of the issues that came up in a recent national election is how to deal with a sluggish economy. Specifically, should governments cut spending, raise taxes, inflate the economy (e.g. by printing more money) or do none of the above and let the deficit rise? And as with most other issues, politicians need to know which parts of the electorate support these options. Suppose that a random sample of 750 people was asked which option they support and their political affiliations. The possible responses to the question about political affiliation were Jubilee, ODM, and Wiper. The responses are summarized in the table below.

Political Affiliations	Economic Options
	Cut spending	Raise taxes	Inflate Economy	Let deficit increase
Jubilee	76	28	98	46
ODM	211	50	66	68
Wiper	45	19	23	20

Do these results allow us to conclude at the 10% significance level that political affiliation affects support for the economic options?  (Note χ² critical value = 16.81).                                                                    

Answer rating: 100% (QA)

Ho Political affiliation and support for economic option are independent H Political affi... View the full answer