Lecture 14 and 15 Flashcards
hypotheses tests?
hypothesis tests are tests about a population parameter
null hypothesis?
is a statement involving equality about a population parameter. We assume the null hypothesis is true to do our analysis
Alternative hypothesis?
statement that contradicts the null. What we conclude is true if the experimental results lead us to conclude that our null is false. Does not involve equality
If p value < a
reject the null
if p-value > a
fail to reject null
type I error
deciding to reject null when true, incorrectly supporting alternative
type II error
failing to reject the null when false, incorrectly not supporting alternative
alpha (probability)
P(type I error)
P(decide to reject null when true)
P(incorrectly supporting the alternative)
significance level of test
beta (probability)
P(type II error)
P(failing to reject the null when null is false)
P(incorrectlly not supporting the alternative)
1-beta
P(decide to reject null when null is false)
P(correctly supporting alternative)
power of test
5 steps to solve hypothesis test
1: formulate null and alternative
2: find test statistic
3: specify level of a
4: calculate test statistic and p value
5: draw a conclusion. state whether or not to reject the null and provide interpretation
Different cases
case 1: H0: mu= mu0 vs Ha: mu<mu0 (reject null if z<za)
case 2: H0: mu=mumu0 vs Ha: mu>mu0 (reject null if z>za)
case 3: H0: mu=mu0 vs Ha: mu (not =) mu0 (reject null if z>za/2 or z<-za/2)
test statistics for large and small samples
z= sample-population mean/ sd/ sqrt (n)
t= sample-population mean/sample sd/sqrt (n)
p-value
(normcdf or tcdf)
P(z>x)
for a specific state test is the probability of observing a vlaue of the test stat that is at least as contradictory to the null hypothesis and supportive of alt hypothesis, as actual one computed from sample data
How to determine to reject null
choose maximum value of x of a you are willing to tolerate
if p-value is less than a, reject if not do not reject