Chapter 8: Hypothesis Testing Flashcards
Hypothesis testing
The process of testing of hypotheses about one or more populations using statistical inference.
Hypothesis
A proposed explanation or theory that can be tested.
Null hypothesis
The hypothesis that is tested.
Alternative hypothesis
The hypothesis that is accepted if the null hypothesis is rejected.
Type I error
The error of rejecting a true null hypothesis; a false positive.
Type II error
The error of not rejecting a false null hypothesis; false negative.
Level of significance
The probability of a Type I error in testing a hypothesis.
Confidence level
The complement of the level of significance.
Power of a test
The probability of correctly rejecting the null—that is, rejecting the null hypothesis when it is false.
Critical values
Values of the test statistic at which the decision changes from fail to reject the null hypothesis to reject the null hypothesis.
Statistically significant
A result indicating that the null hypothesis can be rejected; with reference to an estimated regression coefficient, frequently understood to mean a result indicating that the corresponding population regression coefficient is different from zero.
p-Value
The smallest level of significance at which the null is rejected.
Test of the mean of the differences
A statistical test for differences based on paired observations drawn from samples that are dependent on each other.
Parametric test
Any test (or procedure) concerned with parameters or whose validity depends on assumptions concerning the population generating the sample.
Nonparametric test
A test that is not concerned with a parameter or that makes minimal assumptions about the population from which a sample comes.