U.S. labor unions have traditionally been content to leave the management of the company to managers and corporate executives. But in Europe, worker participation in management decision making is an accepted idea that is continually spreading. To study the effect of worker participation in managerial decision making, 100 workers were interviewed in each of two separate German manufacturing plants. One plant had active worker participation in managerial decision making; the other did not. Each selected worker was asked whether he or she generally approved of the managerial decisions made within the firm. The results of the interviews are shown in the table:
b. Do these data support the hypothesis that workers in a firm with participative decision making more generally approve of the firm's managerial decisions than those employed by firms without participative decision making? Test by using the z-test presented in Section 9.6. This problem requires a one-tailed test. Why?
This question was answered on: Jul 11, 2017
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