Year 1 Chapter 7: Hypothesis Testing Flashcards

1
Q

What is a null hypothesis?

A

The hypothesis that you assume to be correct. “H0”

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2
Q

What is the alternative hypothesis?

A

It tells us about the parameter if your assumption is shown to be wrong. “H1”

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3
Q

What is a one-tailed test?

A

Hypothesis tests with alternative hypotheses in the form H1:p < … and H1:p > …

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4
Q

What is a two-tailed test?

A

Hypothesis tests with an alternative hypothesis in the form H1:p ≠ …

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5
Q

What is the critical region?

A

A region of the probability distribution which, if the test statistic falls within it, would cause you to reject the null hypothesis.

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6
Q

What is the actual significance level of a hypothesis test?

A

The probability of incorrectly rejecting the null hypothesis.

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7
Q

How is the critical region and significance level affected in a two-tailed test?

A

The critical region is split at either end of the distribution.

The significance level is halved at each end you are testing.

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