Question

Income can have a significant effect on people’s spending patterns. Research studies have
revealed that consumer expenditure is influenced by various factors such as their income,
gender, age and level of education. In order to investigate the relationship between food
expenditure and take home pay in Australia, a researcher plans to survey a sample of
individuals across the country.
Part 1 [3 marks=1+1+1]
Briefly explain
(a) What type of survey method could the researcher use and why?
(b) What sampling method could the researcher use to select his/her sample and why?
(c) What kind of issues the researcher may face in this data collection?

Answer 1

a) in this case researcher want to  investigate the relationship between food expenditure and take home pay. Then he has to collect data of food expenditure and income of people. So it will be better to use survey method of questionnaire . In this method researcher has to design questionnaire according to his need of information that he will use to estimate the relationship between variables .

b) To establish an unbiased relationship it is obvious to take simple random samples from the population. But also income factor depends on other variables so it is better to make stratas and then choosing simple random samples from stratas . In this way researcher should use stratified random sampling.

c) in data collection it is possible not getting answer of questionair by some respondents.the data may have outliers. This can creat problem in experiment.

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