Week 8 Hypothesis Testing Flashcards
what 3 things are needed to conduct a hypothesis test
the assertion that some hypothesis is true
a numerical test that can be applied to the data
a hypothesis test that can be accepted or rejected depending on the outcome of the test
what is a simple hypothesis
hypothesis that defines the probability distribution completely
what is a composite hypothesis
hypothesis that combines several probability distribution functions
what is a type I error
hypothesis is true but the decision is to reject it
what is a type II error
hypothesis is false but the decision is to accept it
define significance
the rate at which type I errors occur
what is the significance equation
α >= ∫Ph(x) dx
Ph(x) is the probability distribution function of the hypothesis
what can be said about the significance for composite and discrete distributions
we use the probability distribution of the function that maximises significance
what is the power of a test equation
1 - β = ∫ Pa(x) dx
Pa(x) is the probability distribution of the alternative hypothesis
what is the general guiding principle for significance and power
we want to minimise the significance and maximise the power