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Define the three types of hypothesis tests and explain why they are used. Give an example...

Define the three types of hypothesis tests and explain why they are used. Give an example for each.

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Expert Solution

Hypothesis testing:

=>The hypothesis testing refers to the predefined formal procedures that are used by statisticians whether to accept or reject the hypotheses.

=>Hypothesis testing is defined as the process of choosing hypotheses for a particular probability distribution, on the basis of observed data

There are a number of different types of hypothesis tests

1.

T-test: tests for a Student’s t-distribution – ie, in a normally distributed population where standard deviation in unknown and sample size is comparatively small. Paired t-tests compare two samples.

example;

=>

Let’s say you have a cold and you try a naturopathic remedy. Your cold lasts a couple of days.

=>The next time you have a cold, you buy an over-the-counter pharmaceutical and the cold lasts a week. You survey your friends and they all tell you that their colds were of a shorter duration (an average of 3 days) when they took the homeopathic remedy.

=>What you really want to know is, are these results repeatable? A t test can tell you by comparing the means of the two groups and letting you know the probability of those results happening by chance.

2.Chi-Square Test for Independence: tests for an association of significance between two categorical variables in a population sample. Typically used with random sampling.

example

a scientist wants to know if education level and marital status are related for all people in some country. He collects data on a simple random sample of n = 300 people, part of which are shown below.

3. Analysis of Variance (ANOVA): tests for and analyzes differences between the means in several groups. Often used similarly to a t-test, but for more than two groups.

example:

=>you might want to find out if there is an interaction between income and gender for anxiety level at job interviews.

=>The anxiety level is the outcome, or the variable that can be measured. Gender and Income are the two categorical variables.

=>These categorical variables are also the independent variables, which are called factors in a Two Way ANOVA.


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