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Nominal (Categorical) Scale Data
analyses like chi-sqaure assume the nominal (categorical) scale data:
can be assigned to 2 or more discrete and mutually exclusive categories
these categories make up the entire set of possible outcomes within the sample, and are therefore contingent on one another
Chi-Square Test for Goodness of Fit
compares the observed frequencies of a nominal scale variable in a sample to the expected frequencies in a population
Caution Small Sample Sizes
when your expected frequencies are small, there is an increased risk of Type 1 error
a general rule to follow is that no more than 20% of your expected frequencies should be 5 or less
if you violate this rule, a more appropriate analysis would be a randomization test
Chi-Square Test for Homogeneity
to test whether two or more independent samples were drawn from the same population
unlike the goodness of fit approach with a single sample, there are no predefined expected values based on a population
instead, we examine whether the number of obs in each category are homogeneous among the samples being compared
Fisher Exact Test
a better alternative for datasets with small sample sizes, when it can be used
typically applied for 2×2 contingency tables
use when more than 20% of your expected frequencies are 5 or less
this test is unbiased and directly calculates the probability so risk of type 1 error is unaffected by sample size