Ch7: Hypothesis testing

• in order to carry out a hypothesis test you need 2 hypotheses


  null hypothesis: (H^0) the hypothesis you assume to be correct

  alternative hypothesis: (H^1) the hypothesis if the assumption is incorrect
• a critical region is…


  a region of the probability distribution which if the test statistic is within it, would cause you to reject the null hypothesis.
• the critical value is…


  the first value to fall inside the critical region.
• how do you carry out a one tailed hypothesis test?


  define the variable x

  define the null and alternative hypotheses

  calculate the probability of the test statistic to see whether the null hypothesis is true

  compare the value to the significance level

  write a conclusion using context
• what is the difference between a one tailed and two tailed hypothesis test?


  for a two tailed test you half the significance level at the end you test