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Testing
HYPOTHESIS TESTING
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Outline
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Null Hypothesis:
H0
The null hypothesis (denoted by H0) is
a statement saying that there is NO
significant difference between
population parameter and the value that
is being claimed.
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2. The manager of a TV station claims that the
mean number of people watching their new
sitcom in Manila is 500,000 each day. A
students researcher who wants statistical
evidence on this claim conducted her own
survey. Her survey resulted to a mean of
499,995. Using a 0.05 significance level, can it
be concluded that the mean number of
people watching the new sitcom is less than
500,000? 10
Thus, the hypotheses would be:
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3. The average daily
confirmed cases of
COVID19 in the
Philippines is 659.
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Thus, the hypotheses would be:
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Hypotheses testing
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Rejection Region, Critical Value,
and Level of Significance
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Type I and Type II Errors
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What mistakes do people make?
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E
Type I Error
A Null is true
L
I Null is false
T
Y 3 4
Potential outcomes of testing
Decision
Accept Null Reject Null
R
1 2
E
A Null is true
L
I Null is false
T
Y
Type II Error
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Potential outcomes of testing
Decision
Accept Null Reject Null
R
E Correct Type I Error
A Null is true decision (α error)
L
I Null is false
T
Correct
Y Type II Error
decision
(β error)
Example:
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Example:
Tim thinks wolf is present when no wolf is
actually present.
Tim thinks wolf is NOT present when wolf is
actually present.
Person is judged as guilty when the person
actually did not commit crime.
Person is not judged guilty when the person
actually did not commit the crime.
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Type I Error
Reality: No relationship
Decision: Reject the null
Rejecting something that is
true.
Analogy: Find an innocent
man guilty of a crime
Type II Error
Reality: Relationship
Decision: Accept the null
Fail to reject something that
is false.
Analogy: Find a guilty man
innocent of a crime
Relating the type I and II errors in
life
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In reality, there are many
instances in testing hypothesis.
There are cases wherein the
sample is large or the sample is
small.
Depending on the situation, there
are several approaches to validate
our hypothesis.
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z-test vs t-test
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The Central Limit Theorem
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