266 Fundamentals of Statistics
The Mann-Whitney test relies on ranks; this lessens the effect of outliers.
The downside is that under certain situations, the Mann-Whitney test will
not be as effi cient as the two-sample t test in detecting differences between
samples. Also, some researchers may not be familiar or comfortable with
this nonparametric approach.
Let’s apply the Mann-Whitney test to the nursing home data. Our hypoth-
eses are
H 0 : Median population revenue for rural nursing homes 5
Median population revenue for nonrural homes
Ha: Median population revenue for rural nursing homes 2
Median population revenue for nonrural homes
To apply the Mann-Whitney test to the nursing home data:
1 Return to the Nursing Home Data worksheet and click Two Sample
Tests from the StatPlus menu and then click 2 Sample Mann-Whitney
Rank test.
2 Verify that the Use column of category values option button is
selected.
3 Click the Data Values button and select Revenue from the list of
range names.
4 Click the Categories button and select the range name Location.
5 Click the Output button and send your output to a new worksheet
named MW-test.
6 Click OK to generate the Mann-Whitney analysis for the nursing
home revenue. See Figure 6-23.
95% confidence
interval
median difference value
between the two samples
Figure 6-23
Mann-Whitney
analysis of the
revenue data
p