hypothesis testing Flashcards
What is critical region?
it’s a region of the probability distribution which, if the test statistic falls within it, would cause you to reject the null hypothesis
What’s a critical value?
it’s the first value to fall inside of the critical region
What’s the actual significance level?
the probability of incorrectly rejecting the null hypotheses
What is the null hypothesis?
The hypothesis that you assume to be correct.
What is the alternative hypothesis?
It’s the hypothesis that tells you about the parameter if your assumption is shown to be wrong.
What are one-tailed tests?
The hypothesis tests with alternative hypotheses in the form H1 : p < … and H1 : p >
What are two-tailed tests?
Hypothesis tests with an alternative hypothesis in the form H1 p not equal
What do you do to the significance level of a two-tailed test.
Either double the p-value for your observation, or halve the significance level at the end you’re testing.
What happens to the critical region of a two-tailed test?
It’s split at either end of the distribution.
