LIR832-Spring-2004-final-exam-answer-key - LIR 832 Final...

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LIR 832: Final Examination: Spring, 2004 This examination consists of two parts. The first, worth 45 points consists of four problems each worth 15 points. You are to answer three of your choice. If you answer four, I will base your grade on the three with the lowest scores. The second part of the exam, worth 55 points, is an analytic essay. Instructions for the essay are found in the second section of this examination. The examination is scheduled to last two and one half hours. 1. A friend of yours is interested in the effect of High Performance Work Systems (HPWS) on employees’ ability to return to work after an injury. It is their belief that HPWS makes it more difficult for injured employees to return to work because there are fewer light duty jobs suitable to a person who is not fully able to work. This suggests that (1) a lower percentage of employees will be in light duty capacities in HPWS work sites than in non-HPWS work sites and (2) employees working on HPWS sites will spend longer away from work (have more loss time work days) when they have an accident and than workers in non-HPWS work sites. Your friend has an article in the “Journal of Occupational Health and Medicine” on that very issue. Unfortunately your friend is not familiar with regression models and asks you to explain the statistical findings. The model is estimated on information from 1,000 employees in manufacturing whose work- related injury was sufficiently serious that they have at least one lost work day because of the injury. We expect all of the variables but facility to be positively related DAYSLOST, we expect a negative relationship between FACILITY and DAYSLOST. DAYSLOST = 3.5 + 4.2*SERIOUSNESS + 1.3*AGE + 2.1*FACILITY + 2.2*HPWS (3.4) (.53) (1.2) (1.5) r 2 = .32 Sum of Squared Residuals = 101.5 r 2 31 = . Degress of Freedom = 995 Standard Error in ( ) Where DAYSLOST the number of days between the injury and when the employee returned to work SERIOUSNESS A numeric rating from 0 to 2 indicating the seriousness of the injury. 0 corresponds to the least seriousness, 2 to the most seriousness. AGE The age of the employee at the time of the injury FACITITY A 0/1 variable indicating whether there is a staffed medical facility, such as a nurses station, at the work site (1 = yes) HPWS A 0/1 variable indicating whether the work site has a HPWS work system (1 = yes)
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A. Does the estimate support your friends belief that HPWS are associated with longer time away from work. Explain your answer. ***************************************************************************** One-tailed T-test on the coefficient on HPWS: H A : β HPWS > 0 H O : β HPWS < 0 t = 2.2 / 1.5 t = 1.4667 Critical t-values: 10% - 1.282 Reject Ho 5% - 1.645 Do NOT reject Ho 1% - 2.326 Do NOT reject Ho ***************************************************************************** B. Are the balance of the estimated coefficients consistent with our hypotheses about lost work time? Be sure to justify your answer using the methods of this course.
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This note was uploaded on 07/25/2008 for the course LIR 832 taught by Professor Belman during the Spring '07 term at Michigan State University.

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LIR832-Spring-2004-final-exam-answer-key - LIR 832 Final...

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