When a response is categorical, a different set of tools is needed to analyze the data. This chapter focuses on simple categorical responses and introduces these topics:
● There are two ways to approach categorical data. This chapter refers to them as choosing and counting. They use different tools and conventions for analysis.
● The concept of variability in categorical responses is more difficult than in continuous responses. Monte Carlo simulation helps demonstrate how categorical variability works.
● The chi-square test is the fundamental statistical tool for categorical models. There are two types of chi-square tests. They test the same thing in a different way and get similar results.