Background: Morris Saldov conducted a study in Eastern and Central Newfoundland in 1988 to examine public attitudes towards social spending. In particular, the study tried to determine if knowing someone on public assistance (yes, no) affected one's views on social spending (too little, about right, too much). The data from the study is summarized in the table below.

	Yes	No	Total
Too little	42	8	50
About right	14	12	26
Too much	11	9	20
Total	67	29	96

Source: Morris Saldov, Public Attitudes to Social Spending in Newfoundland," Canadian Review of Social Policy, 26, November 1990, pages 10-14.

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A chi-square test for independence is to be executed to determine if the association between knowing someone on public assistance and views on social spending is statistically significant.

1. Choose the correct null and alternative hypotheses.
   
   • $\displaystyle {H}_{{0}}:$ There is no association between knowing someone on public assistance and views on social spending.
     $\displaystyle {H}_{{a}}$ There is an association between knowing someone on public assistance and views on social spending.
   • $\displaystyle {H}_{{0}}:$ There is an association between knowing someone on public assistance and views on social spending.
     $\displaystyle {H}_{{a}}$ There is no association between knowing someone on public assistance and views on social spending.



2. For the data counts given, statistics software tells that $\displaystyle \chi^{{2}}=$ 10 and the $\displaystyle {P}$-value is 0.007. Interpret the results of a significance test performed at the $\displaystyle \alpha=$ 0.01 significance.
   
   • The $\displaystyle {P}$-value provides strong evidence against the null hypothesis. The association between knowing someone on public assistance and attitudes towards social spending is statistically significant.
   • The $\displaystyle {P}$-value provides little evidence against the null hypothesis. The association between knowing someone on public assistance and attitudes towards social spending is not statistically significant.