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Hypothesis Testing of MGNREGA - 1

 Hypothesis Testing of Mahatma Gandhi National Rural Employment Guarantee Act with Data (Case - 1)



Hypothesis - 


H0 = MGNREGA’s Budget has not increased in Maharashtra from FY 2018-19 to 2022-23. 

H1 = MGNREGA’s Budget has increased in Maharashtra from FY 2018-19 to 2022-23.

Note: You can use following statistical tests if you have enough primary or secondary data - 

  1. Z - Test -  (z = (x — μ) / (σ / √n)
  2. T - Test - t = (x1 — x2) / (σ / √n1 + σ / √n2)
  3. Chi-Square Test - Χ2 = Σ [ (Or,c — Er,c)2 / Er,c ]

Table: Approved Budget From Financial Year 2018-19 to 2021-22 in Maharashtra. 

Source of Data: MGNREGA

Figure: Approved Budget From Financial Year 2018-19 to 2021-22 in Maharashtra. 


As we can see in the above table and diagram the budget of Maharashtra has increased in Financial Year (FY) 2019-20, which was 200 lakhs. In 2018-19 the budget was 900 (in lakhs) and in 2019-20 it was 1000 (in lakhs). But from 2020-21 the budget started declining in Maharashtra because of COVID-19 pandemic. Government had made its most of expenditure on health sector instead of all these social schemes in India and Maharashtra. The budget started declining in FY 2020-21 which was 750 (in lakhs) and in 2021-22 it was 650 (in lakhs). The government budget was declining since 2020-21 and constant in two FY year, here we will accept the Null Hypothesis (H1) and We will reject the Alternative Hypothesis (H1).

Hence, Null Hypothesis (H0) is positively proved.

Note: This is an example from my college project, which I thought would be great if I share over here.

Thanks For Reading ( Have A Great Week :)

“There are no proofs. There are only agreements” ― Paul W. Silver 

Other Hypothesis Related Old Stuff - 


Draft Version -1.0

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