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Hypothesis Testing Revised

Hypothesis testing is a formal statistical process used to evaluate claims about populations based on data from samples. There are five main steps: [1] State the null and alternative hypotheses; [2] Find the critical value(s); [3] Compute the test value using an appropriate statistical test; [4] Decide whether to reject or fail to reject the null hypothesis based on the critical value(s); [5] Summarize the conclusion. Common hypothesis tests include the z-test, t-test, and chi-square test. Type I and type II errors can occur, and significance levels like 0.10, 0.05 and 0.01 are typically used to determine critical values.

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Brafiel Claire Curambao Libay
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91 views

Hypothesis Testing Revised

Hypothesis testing is a formal statistical process used to evaluate claims about populations based on data from samples. There are five main steps: [1] State the null and alternative hypotheses; [2] Find the critical value(s); [3] Compute the test value using an appropriate statistical test; [4] Decide whether to reject or fail to reject the null hypothesis based on the critical value(s); [5] Summarize the conclusion. Common hypothesis tests include the z-test, t-test, and chi-square test. Type I and type II errors can occur, and significance levels like 0.10, 0.05 and 0.01 are typically used to determine critical values.

Uploaded by

Brafiel Claire Curambao Libay
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PPTX, PDF, TXT or read online on Scribd
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Hypothesis Testing

Part I
Steps in Hypothesis testing-Traditional Method
What is Hypothesis Testing?
Hypothesis testing is a formal procedure for investigating our ideas about the world
using statistics. It is most often used by scientists to test specific predictions, called
Statistical hypotheses, that arise from theories.
Hypothesis Testing - a decision-making process for evaluating a claim about a
population.
Hypotheses concerning parameters (such as mean or proportions) can be investigated.
 Means: z-test or the t-test
Variance/Standard Deviation: chi-square test
Hypothesis Testing
Three methods used to test hypotheses:

Traditional Method
P-Value Method
Confidence Interval Method

Statistical hypothesis is a conjecture about a population parameter. This conjecture may


or may not be true.
There are 5 main steps in hypothesis testing:

Step 1. State the hypothesis as a null hypothesis and alternate hypothesis


(Ho) and (Ha or H1).
Step 2. Find the Critical value(s)
Step 3. Compute the test value or appropriate statistical test
Step 4. Decide whether to reject or fail to reject the null hypothesis
Step 5. Summarize the result
Note: Though the specific details might vary, the procedure you will use when testing a
hypothesis will always follow some version of these steps.
Step 1. State the Hypotheses
There are two types of statistical hypotheses:
1. null hypothesis
2. alternative hypothesis
The null hypothesis is a prediction of no relationship between the variables you are
interested in.
The alternate hypothesis is usually your initial hypothesis that predicts a relationship
between variables. 
The null and alternative hypotheses are stated
together as shown below:

Two – tailed test Right – tailed test Left – tailed test


Example1.
• State the null and alternative hypotheses for each conjecture.
A researcher thinks that if expectant mothers use vitamin pills, the birth
weight of the babies will increase. The average birth weight of the
population is 8.6 pounds.
Solution:
Example2.
• State the null and alternative hypotheses for each conjecture.
A psychologist feels that playing soft music during a test will change the
results of the test. The psychologist is not sure whether the grades will be
higher or lower. In the past, the mean of the scores was 73.
Solution:
Example3.
• State the null and alternative hypotheses for each conjecture.
An engineer hypothesizes that the mean number of defects can be decreased
in the manufacturing process of compact disks by using robots instead of
humans for certain tasks. The mean number of defective disks per 1000 is
18.
Solution:
• A statistical test uses the data obtained from a sample to make a decision
about whether the null hypothesis should be rejected.

• The numerical value obtained from a statistical test is called the test
value.
Types of Errors
A type I error occurs if you reject the null hypothesis when it is true.
A type II error occurs if you do not reject the null hypothesis when it is false.

The level of significance is the maximum probability of committing a type I


error. This Probability is symbolized by (Greek letter alpha). That is, P (type
I error) = . Researchers generally agree on using three arbitrary significance:
0.10, 0.05, and 0.01 level.
Step 2. Finding Critical value(s)

• The critical value separates the critical region from the noncritical region. The
symbol for critical value is C.V.
• The critical or rejection region is the range of values of the test value that indicates
that there is a significant difference and that the null hypothesis should be rejected.
• The noncritical or nonrejection region is the range of values of the test value that
indicates that the difference was probably due to chance and that the null hypothesis
should not be rejected.
• In a two-tailed test, the null hypothesis should be rejected when the test value is in
either of the two critical regions.
Normal Critical Values for Confidence Levels

Confidence level/Level of Critical Value Critical Value


Significance One – tailed test Two – tailed test

99% (0.01) 2.33 2.58


98% (0.02) 2.054 2.33
95% (0.05) 1.645 1.96
90% (0.10) 1.28 1.645
Rejection Region for Null Hypothesis

{ { {
𝛼=0.10𝐶.𝑉 .=−1.28 𝛼=0.10𝐶.𝑉 .=1.28 𝛼=0.10𝐶.𝑉 .=±1.65
𝛼=0.05𝐶.𝑉 .=−1.645 𝛼=0.05𝐶.𝑉 .=1.645 𝛼=0.05𝐶.𝑉 .=±1.96
𝛼=0.01𝐶.𝑉 .=−2.33 𝛼=0.01𝐶.𝑉 .=2.33 𝛼=0.01𝐶.𝑉 .=±2.58
Step 3. z Test for a Mean
• Many hypotheses are tested using a statistical test based on the following
general formula: The observed value is the

• The z test is a statistical test for the mean of a population. It can be used
when n 30, or when the population is normally distributed and s is
known.
The formula for the z test
Assumptions for the z Test for a Mean When
Is Known

1. The sample is a random sample.

2. Either n 30 or the population is normally distributed if n < 30.


Example 1.

A researcher wishes to see if the mean number of days that a basic, low-
price, small automobile sits on a dealer’s lot is 29. A sample of 30
automobile dealers has a mean of 30.1 days for basic, low-price, small
automobiles. At 0.05, test the claim that the meantime is greater than 29
days. The standard deviation of the population is 3.8 days.
Solution
Step 1 State the hypotheses and identify the claim.

Step 2 Find the critical value.


Since 0.05 and the test is a right-tailed test, the critical value is z 1.645.
Step 3 Compute the test value.
Solution
Step 4 Make the decision.
Since the test value, +1.59, is less than the critical value, +1.645, and is not
in the critical region, the decision is to not reject the null hypothesis.
Step 5 Summarize the result.
There is no enough evidence to support the claim that the number of days
that a basic, low-price, small automobile sits on a dealer’s lot is greater than
29 days.
Grouped Work

In a group of 4 members answer the following problem. Write your answer


on 1 whole piece of yellow paper.
1. A researcher reports that the average income of dentist in metro Manila is more
than P42, 000 per month. A sample of 30 dentist has a mean salary of P43, 800.
At , test the claim that dentists earn more than P42, 000 per month. The
standard deviation is P 5, 400.
2. The average cost of child delivery in Gingoog City P24, 750. To see if the
average cost of child delivery is different at a large hospital, a researcher
selected a random sample of 36 deliveries and found that the average cost is
P25, 468. The standard deviation of the population is P3, 250. At , can it be
conducted that the average at a large hospital is different from P24, 750?
Reference
• https://slideplayer.com/slide/8465963/
• https://www.scribbr.com/statistics/hypothesis-testing/

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