RESEARCH 3

Quarter 3
Aidee E. Escañela
Teacher
HYPOTHESI
S TESTING
 STEPS IN HYPOTHESIS TESTING
1.State the null and alternative hypotheses.
2.Choose the appropriate test statistic to be used.
3.State the level of significance and the sample size.
4.Choose the sampling distribution and specify the
critical region.
5.Decide on whether to accept or reject the null
hypothesis.
 1. STATE THE NULL HYPOTHESIS
Two types of hypothesis: the null hypothesis and the
alternative hypothesis.
The null hypothesis indicates the value of the
population parameter to be tested. This is the
hypothesis of “no difference” and is usually
formulated for the sole purpose of being rejected. This
is what is called a test of significance. A test of
significance is a determination of the truth of a
prediction. The null hypothesis is denoted by HO.
The alternative hypothesis is the operational
statement of the experimenter’s research
hypothesis. The research hypothesis is the
prediction derived from the theory being tested.
The null hypothesis is the one being tested
statistically. Once the null hypothesis is rejected,
the alternative hypothesis is taken to be true or
accepted. It is denoted by HA.
The test of significance is therefore a
problem of deciding between the null
and the alternative hypotheses on the
basis of the information contained in the
sample. The goal is to reject the null
hypothesis in favor of the alternative
hypothesis.
Example:
Suppose that the standard medication for
influenza is effective in 70% of all cases. A drug
company believes that its new drug, Mediflu, is
more effective than the old treatment.
Formulate the null and alternative hypotheses
to test if there is statistical evidence to support
the new drug.
Solution:
Let X denote the cure rate of the new drug. Since the drug company
believes that Mediflu is better than the standard medication, the research
hypothesis should be
HA : µ > 70%
and the null hypothesis is
H0 : µ = 70%.

If HO is rejected in this case, then we have to accept that HA is true.

Otherwise the reverse must be accepted.
 2. CHOOSE THE APPROPRIATE STATISTICAL
TEST OR TEST STATISTIC TO BE USED.

A statistical test or test statistic is a calculated

number that is used to decide whether to reject or
accept the null hypothesis. The formula to be used
for the test statistic depends on the variable we are
testing. The level of measurement of the variable
is the basis for choosing the appropriate statistics
to be used in testing the hypothesis.
 Table 8.1. Appropriate Statistics for the Different Scales
of Measurement
Scale of Measurement Relations being defined Appropriate statistical test Examples of statistics that
to be used can be used

Nominal Equivalence Nonparametric test Mode, frequency Chi-square

test

Ordinal Equivalence, greater than, Nonparametric test Median, Spearman rank,

less than Friedmann’s test, kendall’s
tau percentile

Interval Equivalence, greater than, Nonparametric and Mean, standard deviation, z-

less than, known ratio of any parametric tests. test, t-test, ANOVA,
two intervals Pearson’s r

Ratio Equivalence, greater than, Nonparametric and Mean, standard deviation,

less than, known ratio of any parametric tests coefficient of variation,
two ratios Pearson’s r, z-test, t-test,
ANOVA
 Qualitative variables like nominal and ordinal
variables cannot make use of parametric statistical
test unlike interval and ratio variables. Interval and
ratio levels of measurements can be applied with
both the parametric and nonparametric statistical
tests. In parametric statistical tests, we can
conveniently make use of the mean and standard
deviation, the z-test, the t-test, the analysis of
variance (ANOVA), and the Pearson’s r correlation.
We can also apply nonparametric tests such as the Chi-
square test, the Friedmann’s test, the Binomial test, the
Spearman rank correlation, the Kendall’s tau, the
Kruskall-Wallis test, and the Wilcoxon signed rank test,
to name a few, to interval and ratio levels of
measurements. Interval and ratio measurements can
be reduced to nominal and ordinal measurements, while
nominal and ordinal measures cannot be upgraded to
interval or ratio measures.
 3. STATE THE LEVEL OF SIGNIFICANCE ()
AND THE SAMPLE SIZE.
In stating the level of significance (), the
researcher sets up the rejection region and
acceptance region for the null hypothesis. The
rejection region is called the critical region.
The remaining region is called the acceptance
region.
Figure 8.1
(a) Two-tailed test (rejection regions on the left and on the right of the distribution curve)
(b) One-tailed test (rejection region on the left side of he curve)
(c) One-tailed test (rejection region on the right side of the curve)
 Table 8.2. Rejection Region for the Different
Types of Symbols for Alternative Hypothesis
Type of symbol used
in the alternative < ≠ >
hypothesis (less than) (not equal) (greater than)

Example of HA HA : µ < µO HA : µ ≠ µO HA : µ > µO

Location of the One region on Two regions, One region, on

rejection region to the left side one on each side the right side
be used
A one –sided test or a one-tailed test is a
statistical test which has the rejection
region located in the left tail or the right tail
of the distribution. On the other hand, a
two-sided test or two-tailed test is a
statistical test in which the rejection region
is located in both tails of the distribution.
 The level of significance () is the
probability that the test statistic falls
within the rejection region. The most
commonly used levels of significance
are 0.05 and 0.01. These are the risks
taken in rejecting a true hypothesis.
When a null hypothesis is rejected or accepted,
there is a risk of making an error. There are two
types of possible errors that can be made at this
point. We can make a type I error when we
reject a true null hypothesis when we should
accept it. On the other hand, we make a type II
error when we accept a false null hypothesis
when in fact we should reject it.
The probability of making a type I
error is equal to the level of
significance which is either 0.05 or
0.01 level. This is denoted by the
Greek letter alpha ().The
probability of making a correct
decision is 1 - .
 4. CHOOSE THE SAMPLING DISTRIBUTION
AND SPECIFY THE CRITICAL REGION.

The sampling distribution to be used is the

theoretical distribution associated with the test
statistic applied. For example, when we are testing
a hypothesis concerning means, we may either use
the standard normal distribution table (z-table) or
the table for t-values or the Student’s t distribution
table.
 5. DECIDE WHETHER TO REJECT OR
ACCEPT THE NULL HYPOTHESIS.
We say that the value of the computed statistic is
significant when it falls within the rejection region.
Otherwise, we have to accept the null hypothesis.
There are four possible decisions that a researcher
can make in a test of hypothesis.
Null hypothesis, Decision
H0 Reject H0 Accept H0

True Type I error Correct decision

False Correct decision Type II error

Type I error is rejecting a null hypothesis that is true while type

II error is accepting a null hypothesis that is false. In any
decision that we make, there is always a risk of making an error.