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Testing of Hypothesis-1

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20 views19 pages

Testing of Hypothesis-1

Uploaded by

prateekchauhan923
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Hypothesis Testing

What is a Hypothesis?
A hypothesis is an assumption I assume the average weight
about the population of this class is 58 kg!
parameter.
A parameter is characteristic
of the population, like its
mean or variance.
The parameter must be
identified before analysis.

© 1984-1994 T/Maker Co.


Testing of Hypothesis
A hypothesis is an assumption about the population
parameter (say population mean) which is to be tested.

For that we collect sample data , then we calculate


sample statistics (say sample mean) and then use this
information to judge/decide whether hypothesized value
of population parameter is correct or not.
To test the validity of assumed or hypothetical value of
population , we gather sample data and determine the
difference between hypothesized value and actual
value of the sample mean.

Then we judge whether the difference is significant


or not.

The smaller the difference, the greater the


likelihood that our hypothesized value for the
mean is correct. The larger the difference,
the smaller the likelihood.
 Inhypothesis testing the first step is to state the assumed
or hypothesized( numerical) value of the population
parameter.

 The assumption we wish/ want to test is called the null


hypothesis. The symbol for null hypothesis is H0.
The Null Hypothesis, H0
State the Assumption (numerical) to be tested
e.g.The average weight of the semester 2 student
is 58kgs (H0: µ = 58)
Begin with the assumption that the null
hypothesis is TRUE.
(Similar to the notion of innocent until proven guilty)
The Alternative Hypothesis, H1
 Is the opposite of the null hypothesis

eg. The average weight of the students is not


equal to 58kgs. (H1: μ ≠ 58)
Procedure of Hypothesis Testing
The Hypothesis Testing comprises the following steps:
Step 1
Set up a hypothesis.

Step 2
Set up a suitable significance level.
The confidence with which an experimenter rejects or accepts Null
Hypothesis depends on the significance level adopted. Level of
significance is the rejection region ( which is outside the confidence
or acceptance region).The level of significance, usually denoted by the
α.
Selecting a significance level
Though any level of significance can be adopted, in
practice we either take 5% or 1% level of
significance .
When we take 5% level of significance(α= .05), then there
are about 5 chances out of 100 that we would reject the
null hypothesis. In other words out of 100, 95% chances
are there that the null hypothesis will be accepted i.e. we
are about 95% confident that we have made the right
decision.
Critical value Critical value
If our sample statistic(calculated value) fall in the non-
shaded region( acceptance region), then it simply means
that there is no evidence to reject the null hypothesis.

It proves that null hypothesis (H0 ) is true. Otherwise, it


will be rejected.
Step 3
Determination of suitable test statistic: For example Z, t
Chi-Square or F-statistic.
Step 4
Determine the critical value from the table.
Step 5

After doing computation, check the sample result.


Compare the calculated value( sample result) with the
value obtained from the table.(tabulated or critical value)

Step 6
Making Decisions
Making decisions means either accepting or rejecting the
null hypothesis.
If computed value(absolute value) is more than the tabulated
or critical value, then it falls in the critical region. In that
case, reject null hypothesis, otherwise accept.
Type I and Type II Errors
When a statistical hypothesis is tested, there are 4 possible
results:
(1)The hypothesis is true but our test accepts it.
(2)The hypothesis is false but our test rejects it.
(3)The hypothesis is true but our test rejects it.
(4)The hypothesis is false but our test accepts it.

Obviously, the last 2 possibilities lead to errors.

Rejecting a null hypothesis when it is true is called a Type I


error.
Accepting a null hypothesis when it is false is called Type II
error.
Example 1 - Court Room Trial
In court room, a defendant is considered not guilty as
long as his guilt is not proven. The prosecutor tries to
prove the guilt of the defendant. Only when there is
enough charging evidence the defendant is condemned.
In the start of the procedure, there are two hypotheses
H0: "the defendant is not guilty", and H1: "the
defendant is guilty". The first one is called null
hypothesis, and the second one is called alternative
(hypothesis).
Null Hypothesis (H0) is true Alternative Hypothesis
He is not guilty (H1) is true
He is guilty
Accept Null Wrong decision
Right decision
Hypothesis Type II Error
Reject Null Wrong decision
Right decision
Hypothesis Type I Error
One-Tailed and Two-Tailed
Tests
Two-Tailed Test is that where the hypothesis about the
population parameter is rejected for the value of sample
statistic failing into either tail of the distribution.(fig3)

When the hypothesis about the population parameter is


rejected for the value of sample statistic failing into one
side tail of the distribution, then it is known as one-tailed
test.
If the rejection area falls on the right side, then it is
called right-tailed test.(fig 2) On the other hand If the rejection
area falls on the right side, then it is called left-tailed test.(fig 1)
Two-tail and One-tail Test

α Critical
H0: µ ≥ 3
Value(s)
H1: µ < 3
Rejection Regions 0 Fig 1 One-tail Test
α
H0: µ ≤ 3
Fig 2 One-tail Test
H1: µ > 3
0
α /2
H0: µ = 3
H1: µ ≠
0
3
Fig-3 two-tail test
Summary of One- and Two-Tail
Tests…

One-Tail Test Two-Tail Test One-Tail Test


(left tail) (right tail)

11.
18
The following table gives critical values of Z for both one-
tailed and two- tailed tests at various levels of significance.

level of significance 0.10 .05 .01

critical value of z for 1.28 or 1.645 or -1.645 2.33 0r -2.33


one-tailed test -1.28
critical value of z for 1.645 or 1.96 or -1.96 2.58 or -2.58
two-tailed test -1.645

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