Hypothesis Tests

What is hypothesis?
• It is an assert about population parameter.
• Hypothesis are related with population
parameters.
• Example:
• The average age of the students are 21 in CIU.
• Hypotheses are opinions about population
parameters. But the accuracy of these
hypotheses are not proved.

• We investigate whether the hypotheses are

true or not by using statistics.
 What is hypotheses tests?
• We obtain some statistics from the sample.
Then we investigate whether the sample
statistics are the same for population. This
procedure is called as hypotheses tests.
 H0 Null (Zero) Hypothesis
• Null hypothesis claims that there is no difference
(relationship) between population parameters.

• The idea that we believe takes part in null (H0)

hypothesis.

• If we can not prove that the contrary situtation is

correct, we accept that null hypothesis is correct.
 H0 Null (Zero) Hypothesis
• Example:
• Null (H0) hypothesis can express that there is
no linear relationship between IQ levels of
people and their reading skill.
 H0 Null (Zero) Hypothesis
• Example:

• Null (H0) hypothesis can express that there is

no difference between average age of female
and male students.
 Alternative Hypothesis (H1)
• Alternative hypothesis claims that there is a
difference between population parameters.

• The asserted situtation takes place in

Alternative hypotheis (H1 ).
 Alternative Hypothesis (H1)
• Example:

• Alternative hypothesis (H1) can assert that

there is a positive linear relationship (positive
correlation) between IQ levels and reading
skills.
 Alternative Hypothesis (H1)
• Example:

• Alternative hypothesis can assert that the

average of female students and male students
in CIU are not equal to each other.
 Points to consider when composing a
hypothesis test
• Alternative hypothesis is the opposite of the
null hypothesis.

• Never use sample statististics in your

hypothesis.

• We use sample statistics to make inference

about population parameters.
1. Step: Determine the research problem
2. Step : State the null and alternative hypothesis.
3. Step : Specify the rejection criteria of the
hypothesis test. (When will we reject the null
hypothesis?)
4. Step : Calculate the test statistics.
5. Step : Decide whether you will reject or accept
the null hypothesis. Then interpret the your
decision!
Some examples about the hypothesis tests

• The average watching TV duration of the

people living in Cyprus is 4 hours in a day?

H0 :µ=4
H1: µ≠4
Some examples about the hypothesis tests

• Is the average cost of the hats in a shopping

mall more than 50 TL?

H0 :µ=50
H1: µ>50
Some examples about the hypothesis tests

• Is the average cost of the books less than 100

TL in D&R?

H0 :µ=100
H1: µ<100
Some examples about the hypothesis tests

Is there any statistical difference between the

average income of high school graduate people
and postgraduate?

H 0 :  HighSchool  University
H1 :  HighSchool  University
 HighSchool : The average income of high school graduate people

University : The average income of post graduate people

Hypothesis Test Procedure
Errors in Decision Making Process
Reality

H 0 is correct H 0 is false

Accept H 0 1-α Confidence β (Type II Error)

Decision Level (Correct
Decision)

Reject H 0 α (Type I Error) 1-β (Correct

Decision)
Errors in Decision Making Process
 Type I Error α
• If we reject the null hypothesis when it is actually true. This
type of error is called as Type I error.

• Namely, in reality there is no difference between groups.

However, we accept that there is a difference between
groups.

• We denote the probability of type I error by α.

• α is determined by the researcher at the beginning of the

research.
 Type I Error α
• In social science, generally the values of α are
0.01 or 0.05.

• α is called as the significance level of the

research.
 Type II Error β
• If we accept the null hypothesis, when it is actually
false, This type of error is called as type II error β.

• Namely, if there is a difference between two

groups, instead of rejecting null hypothesis we
accept the null hypothesis.

• Probability of making a type II error is denoted by

β.
 The direction of hypothesis tests
• Hypothesis tests can be one sided or two-sided.

• We can decide it based on alternative hypothesis.

• If an alternative hypothesis (H1) includes “≠”, It is a

two sided hypothesis test.

• If an alternative hypothesis (H1) includes “<” or «>»,

It is a one sided hypothesis test.