I am to determine whether the baseball players salary affects wins. I attached my full file below. Please let me know if i am missing an information.
According to the current Collective Bargaining Agreement, the minimum salary for a Major League Baseball player will be $390,000 in 2008 and the maximum salary in 2008 will be $27.5 million per year after ten years (2007-11 Basic Agreement, 2007). $3.15 million was the average salary of the MLB's 855 players (Kendrick, 2008). The question is, does a baseball player's salary directly affect a team's ability to win baseball games? Our paper will test this hypothesis and give the reasons behind our findings.
In order to answer the question of Major League Baseball players' salaries verses wins we will need to use a hypothesis to determine the answer. We will use a hypothesis of Ho: μ = player's salaries are equal to their performance statistics and Hı ≠ players with higher salaries do not have higher performance statistics.
Using the statistical data provided, we were able to construct two hypothesis statements that will be measured to see if salaries directly affect a team's ability to win baseball games (Lind, Marchall, & Wathen, 2008). To achieve this goal I have hypothesized that teams who have a high salary range will win more games than those teams that have players with lower salary ranges. The hypotheses to be tested are:
H0: (means of the games won are the same through out the salary scale)
H1: Not all the means are equal (at least one means is different then the others)
ANOVA dependent variable and one factor which are seen below in table 1 and solution is seen in table 2.
Y= Total number of Wins
Factor A (salary of teams)
A1= $90,000,000 and over
A2= $89,999,999 to $69,000,000
A3=$68,999,999 to 48,999,999
A4=48,999,999 and below
Number of observation = n
Total number of observation= n1+n2+n3+n4 =n
Sample Means =
Total means =
Note that Mega stat was used for the ANOVA calculations.
90000000 + A2
Factor Mean n Std. Dev
Totals 81.0 30 10.83
Source SS df MS F p-value
Treatment 982.21 3 327.405 3.51 .0291
Error 2,421.79 26 93.146
Total 3,404.00 29
From the calculation mega stat has determined that our test statistic (F) is 3.51.
To calculate the decision rule we will need to find the numerator d.f. and the denominator d.f 2.
C= 4 groups, n= 30 observations
Numerator = c-1 = 4-1 = 3
Denominator = n-c= 30-4 = 26
Because the p value (p= .0291) is less then our level of significance which is and our calculated decision rule is less than our test statistic so we must in turn fail the hypothesis.
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Please note that your ...
The solution conducts the equivalent for non-parametric test of hypothesis for baseball players salary affects for wins.