Hypothesis Testing

Hypothesis Testing
Hypothesis
Testing

One Sample Two Sample

Problem Problem

Test for Test for

Test for Means
Test for Means Proportions Proportions
𝐻0 : 𝜇1 = 𝜇2
𝐻0 : 𝜇 = 𝜇0 𝐻0 : 𝑝 = 𝑝0 𝐻0 : 𝑝1 − 𝑝2 = 𝐷
Case 3 Case 6

Variances Variances Independent

Matched Pairs
Known Unknown Samples
Case 5
Case 1 Case 2 Case 4
Case 1: 𝐻0 : 𝜇 = 𝜇0 (Variance Known)
ҧ 0
𝑥−𝜇
• Test Statistic: 𝑧 =
𝜎Τ 𝑛
• 𝐻1 : 𝜇 > 𝜇0 . Reject 𝐻0 if observed 𝑧 > 𝑧𝛼 .
• 𝐻1 : 𝜇 < 𝜇0 . Reject 𝐻0 if observed 𝑧 < −𝑧𝛼 .
• 𝐻1 : 𝜇 ≠ 𝜇0 . Reject 𝐻0 if observed |𝑧| > 𝑧𝛼/2 .
𝜎
• CI: 𝑥ҧ ± 𝑧𝛼Τ2 .
𝑛
Case 2: 𝐻0 : 𝜇 = 𝜇0 (Variance Unknown)
ҧ 0
𝑥−𝜇
• Test Statistic: 𝑡 = , 𝑠: sample standard deviation
𝑠Τ 𝑛
• 𝐻1 : 𝜇 > 𝜇0 . Reject 𝐻0 if observed 𝑡 > 𝑡𝛼,𝑛−1 .
• 𝐻1 : 𝜇 < 𝜇0 . Reject 𝐻0 if observed 𝑡 < −𝑡𝛼,𝑛−1 .
• 𝐻1 : 𝜇 ≠ 𝜇0 . Reject 𝐻0 if observed 𝑡 > 𝑡𝛼,𝑛−1 .
2
𝑠
• CI: 𝑥ҧ ± 𝑡𝛼Τ2,𝑛−1 .
𝑛
Case 3: 𝐻0 : 𝑝 = 𝑝0
ො 0
𝑝−𝑝
• Test Statistic: 𝑧 = , 𝑝:Ƹ Sample Proportion.
𝑝0 1−𝑝0
𝑛

• 𝐻1 : 𝑝 > 𝑝0 . Reject 𝐻0 if observed 𝑧 > 𝑧𝛼 .

• 𝐻1 : 𝑝 < 𝑝0 . Reject 𝐻0 if observed 𝑧 < −𝑧𝛼 .
• 𝐻1 : 𝑝 ≠ 𝑝0 . Reject 𝐻0 if observed |𝑧| > 𝑧𝛼/2 .
𝑝ො 1−𝑝ො
• CI: 𝑝Ƹ ± 𝑧𝛼Τ2 .
𝑛
Case 4: 𝐻0 : 𝜇1 = 𝜇2 (Independent Samples)
Unequal
Equal Variances Variances
𝑥ҧ1 − 𝑥ҧ2 − 𝜇1 − 𝜇2
𝑡=
𝑥ҧ1 − 𝑥ҧ2 − 𝜇1 − 𝜇2
𝑡= 𝑠12 𝑠22
1 1 +
𝑠𝑝2 𝑛 + 𝑛 𝑛1 𝑛2
1 2

𝐻1 : 𝜇1 > 𝜇2 . Reject 𝐻0 if observed 𝑡 > 𝑡𝛼,𝑑𝑓

𝐻1 : 𝜇1 > 𝜇2 . Reject 𝐻0 if observed 𝑡 > 𝑡𝛼,𝑛1 +𝑛2 −2 𝐻1 : 𝜇1 < 𝜇2 . Reject 𝐻0 if observed 𝑡 < −𝑡𝛼,𝑑𝑓
𝐻1 : 𝜇1 < 𝜇2 . Reject 𝐻0 if observed 𝑡 < −𝑡𝛼,𝑛1 +𝑛2 −2 𝐻1 : 𝜇1 ≠ 𝜇2 . Reject 𝐻0 if observed |𝑡| > 𝑡𝛼Τ2,𝑑𝑓
𝐻1 : 𝜇1 ≠ 𝜇2 . Reject 𝐻0 if observed |𝑡| > 𝑡𝛼Τ2,𝑛1 +𝑛2 −2 (Check the textbook for “df” formula)

2 2
1 1 𝑛1 − 1 𝑠1 + 𝑛2 − 1 𝑠2
CI: 𝑥ҧ1 − 𝑥ҧ 2 ± 𝑡𝛼Τ2,𝑛1 +𝑛2−2 𝑠𝑝2 + 𝑠𝑝2 =
𝑛1 𝑛2
𝑛1 + 𝑛2 − 2
Case 5: 𝐻0 : 𝜇1 = 𝜇2 (Matched Pairs)
𝑥ҧ𝐷
• Test Statistic: 𝑡 = , 𝐷:
Difference, 𝑥ҧ𝐷 : Average Difference, 𝑠𝐷 : Standard
𝑠 𝐷 Τ 𝑛𝐷
Deviation of Differences, 𝑛𝐷 : Number of Pairs.
• 𝐻1 : 𝜇1 > 𝜇2 . Reject 𝐻0 if observed 𝑡 > 𝑡𝛼,𝑛𝐷 −1 .
• 𝐻1 : 𝜇1 < 𝜇2 . Reject 𝐻0 if observed 𝑡 < −𝑡𝛼,𝑛𝐷 −1 .
• 𝐻1 : 𝜇1 ≠ 𝜇2 . Reject 𝐻0 if observed 𝑡 > 𝑡𝛼,𝑛 .
2 𝐷 −1
𝑠𝐷
• CI:𝑥ҧ𝐷 ± 𝑡𝛼Τ2,𝑛𝐷 −1 .
𝑛𝐷
Case 6: 𝐻0 : 𝑝1 − 𝑝2 = 𝐷
𝐷=0 𝐷≠0

𝑝Ƹ1 − 𝑝Ƹ 2 𝑥1 + 𝑥2 𝑝Ƹ1 − 𝑝Ƹ 2 − 𝐷
𝑧= , 𝑝Ƹ = 𝑧=
1 1 𝑛1 + 𝑛2 𝑝Ƹ1 1 − 𝑝Ƹ1 𝑝Ƹ 1 − 𝑝Ƹ 2
𝑝Ƹ 1 − 𝑝Ƹ +
𝑛1 𝑛2 + 2
𝑛1 𝑛2

𝐻1 : 𝑝1 − 𝑝2 > 0. Reject 𝐻0 if observed 𝑧 > 𝑧𝛼 . 𝐻1 : 𝑝1 − 𝑝2 > 𝐷. Reject 𝐻0 if observed 𝑧 > 𝑧𝛼 .

𝐻1 : 𝑝1 − 𝑝2 < 0. Reject 𝐻0 if observed 𝑧 < −𝑧𝛼 . 𝐻1 : 𝑝1 − 𝑝2 < 𝐷. Reject 𝐻0 if observed 𝑧 < −𝑧𝛼 .
𝐻1 : 𝑝1 − 𝑝2 ≠ 0. Reject 𝐻0 if observed |𝑧| > 𝑧𝛼/2 . 𝐻1 : 𝑝1 − 𝑝2 ≠ 𝐷. Reject 𝐻0 if observed |𝑧| > 𝑧𝛼/2 .

𝑝ො1 1−𝑝ො1 𝑝ො2 1−𝑝ො2

CI: 𝑝Ƹ1 − 𝑝Ƹ 2 ± 𝑧𝛼/2 +
𝑛1 𝑛2