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Non-Parametric Hypothesis Testing (5 Steps)

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Below is all data required for a 5 step nonparametric hypothesis test. I am confused on the differences of the types of tests. Please provide guidance to solution.

Hypothesis statement formulated is: People with 12 or more years of education make at least 50% more income than those with less than 12 years of education.

Ho µ≥ .50
H1 µ<.50

Please help perform the five-step hypothesis test using the data below.

Wage Industry Occupation Ed South Nonwh Hisp Fe Ex Marr Age Union
19388 1 0 6 1 0 0 0 45 1 57 0
49898 2 0 12 0 0 0 0 33 1 51 1
28219 0 3 12 1 0 0 0 12 1 30 0
83601 0 5 17 0 0 1 0 18 1 41 0
29736 0 4 8 0 0 1 0 47 1 61 1
50235 1 0 16 0 0 0 0 12 1 34 0
45976 0 2 12 0 0 0 0 43 1 61 1
33411 1 2 12 1 0 0 0 20 1 38 0
21716 0 5 12 0 0 0 1 11 0 29 0
37664 0 5 18 0 0 0 0 19 1 43 0
26820 0 5 18 0 0 0 0 33 0 57 1
29977 0 4 16 0 1 0 1 6 1 28 0
33959 0 5 17 0 0 0 1 26 1 49 1
11780 0 2 11 0 0 0 1 33 1 50 0
10997 0 4 14 0 1 0 0 0 0 20 0
17626 0 3 12 0 0 0 1 45 1 63 0
22133 0 5 16 0 0 0 1 10 0 32 1
21994 0 1 12 0 0 0 1 24 1 42 0
29390 0 0 13 0 0 0 0 18 1 37 0
32138 0 4 14 0 0 0 0 22 1 42 1
30006 1 3 16 0 0 0 1 27 1 49 0
68573 0 5 16 1 0 0 0 14 1 36 1
17694 0 4 8 0 0 0 1 38 1 52 0
26795 0 0 7 1 0 0 0 44 1 57 0
19981 0 4 4 0 0 0 0 54 1 64 0
14476 0 5 12 0 0 0 1 3 1 21 0
19452 0 4 13 0 1 0 0 3 0 22 0
28168 1 0 13 0 0 0 0 17 0 36 0
19306 0 5 9 1 1 0 1 34 1 49 1
13318 1 0 11 1 0 0 1 25 1 42 1
25166 0 4 12 0 0 0 1 10 0 28 0
18121 1 3 12 0 0 0 1 18 1 36 0
13162 1 0 12 0 1 0 0 6 0 24 1
32094 0 3 12 1 0 0 1 14 1 32 0
16667 0 3 12 1 0 0 0 4 0 22 0
50171 0 5 12 0 0 0 0 39 1 57 1
31691 1 0 12 0 0 0 0 13 0 31 0
36178 0 3 12 0 0 0 1 40 1 58 0
15234 0 1 12 1 0 1 1 4 0 22 0
16817 0 3 12 1 0 0 1 26 0 44 0
22485 0 3 12 0 0 0 0 22 0 40 0
30308 0 4 12 0 0 0 0 10 1 28 0
11702 0 2 14 1 0 0 1 6 1 26 0
11186 0 0 12 0 0 0 0 0 0 18 0
12285 0 1 12 0 0 0 1 42 1 60 0
19284 1 4 16 0 0 0 0 3 0 25 0
11451 1 0 12 0 0 0 1 8 1 26 0
57623 0 1 15 0 0 0 0 31 1 52 0
25670 0 3 13 0 0 0 1 8 0 27 1
83443 0 5 17 0 0 0 1 5 0 28 0
49974 1 1 16 0 1 0 0 26 1 48 1
46646 2 0 5 1 0 0 0 44 1 55 0
31702 0 3 12 1 0 0 1 39 1 57 0
13312 0 4 12 1 0 0 1 9 1 27 0
44543 0 2 18 0 0 0 0 10 1 34 0
15013 0 4 16 0 0 0 0 21 1 43 0
33389 0 1 14 0 1 0 0 22 0 42 0
60626 0 5 18 0 0 0 0 7 1 31 0
24509 0 5 14 0 0 1 1 15 0 35 0
20852 1 0 12 0 0 0 1 38 1 56 0
30133 2 0 10 0 0 0 0 27 1 43 0
31799 0 3 12 0 0 0 1 25 0 43 0
16796 0 4 12 0 0 0 1 14 1 32 0
20793 0 0 12 1 0 0 1 6 0 24 0
29407 0 4 10 1 0 0 0 19 0 35 0
29191 0 0 12 0 0 0 0 9 0 27 0
15957 0 2 12 1 0 0 1 10 0 28 0
34484 0 3 13 1 0 0 1 28 0 47 0
35185 1 3 14 0 0 0 1 12 1 32 0
26614 1 0 12 0 0 0 1 19 1 37 0
41780 0 0 12 1 0 0 0 9 1 27 0
55777 0 1 14 1 0 0 0 21 1 41 0
15160 0 4 8 1 0 0 1 45 0 59 0
66738 0 0 9 1 0 0 0 29 1 44 0
33351 0 5 16 1 0 0 1 4 1 26 0
33498 0 1 10 0 0 0 0 20 1 36 0
29809 0 4 8 0 1 0 1 29 0 43 0
15193 1 0 12 0 0 0 1 15 0 33 0
23027 0 4 14 0 1 0 0 34 1 54 1
75165 0 1 15 0 0 0 0 12 1 33 0
18752 0 4 11 0 0 0 1 45 0 62 1
83569 0 1 18 0 0 0 0 29 1 53 0
32235 0 3 12 0 0 0 1 38 1 56 0
20852 0 0 12 1 0 0 0 1 0 19 0
13787 0 4 11 0 0 0 0 4 1 21 0
34746 0 3 14 1 0 0 1 15 1 35 0
17690 0 1 12 1 1 0 0 14 1 32 0
52762 0 5 18 0 0 0 0 7 1 31 0
60152 0 5 16 1 0 0 0 38 1 60 0
33461 0 1 16 0 0 1 0 7 1 29 1
13481 0 4 12 1 0 1 0 7 0 25 0
9879 0 3 12 1 0 0 1 28 1 46 0
16789 0 3 13 1 0 0 1 6 1 25 0
31304 0 1 16 0 0 0 1 26 1 48 0
37771 0 5 15 0 0 0 0 5 0 26 0
50187 0 3 12 0 0 0 1 24 1 42 0
39888 0 3 12 1 0 0 0 5 0 23 0
19227 0 3 12 0 0 0 1 15 1 33 0
32786 1 0 11 1 0 0 0 37 1 54 1
28440 0 4 12 0 0 0 1 24 1 42 0

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Solution Summary

This solution conducts a hypothesis test by stating the decision rule, calculating the test statistic and comparing it with the p-value. A final decision is made by accepting or rejecting the null hypothesis.

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