Question
5. The table below shows the difference between the current uncontrolled average gender pay gap against a controlled average gender pay gap, which controls for
5.The table below shows the difference between the current "uncontrolled" average gender pay gap against a "controlled" average gender pay gap, which controls for job title, years of experience, education, industry, location, and other factors. These comparisons are against the average $1.00 earned by white men.3
Uncontrolled Pay Gap | Controlled Pay Gap |
Asian women$0.97 | $1.02 |
Native Hawaiian and other Pacific $0.75 Islander women | $1 |
American Indian and Alaska Native $0.70 women | $0.98 |
White women$0.82 | $1 |
Hispanic and Latinx women$0.77 | $0.98 |
Black and African American women$0.78 | $0.98 |
a.Conduct a hypothesis test at the 1% significance level to test the claim that theaverage difference in the pay gap decreaseswhen controlled.
b.Construct a confidence interval appropriate for the hypothesis test in part (a). Do the results support your findings in part (a)? Explain your thinking.
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