In: Statistics and Probability
The two ways of carrying out statistical significance test of a characteristic, drawn from the population, with respect to the test statistic, are a one-tailed test and two-tailed test. The one-tailed test refers to a test of null hypothesis, in which the alternative hypothesis is articulated directionally. Here, the critical region lies only on one tail. However, if the alternative hypothesis is not exhibited directionally, then it is known as the two-tailed test of the null hypothesis., wherein the critical region is one both the tails.
BASIS OF COMPARISON | ONE-TAILED TEST | TWO-TAILED TEST |
---|---|---|
Meaning | A statistical hypothesis test in which alternative hypothesis has only one end, is known as one tailed test. | A significance test in which alternative hypothesis has two ends, is called two-tailed test. |
Hypothesis | Directional | Non-directional |
Region of rejection | Either left or right | Both left and right |
Determines | If there is a relationship between variables in single direction. | If there is a relationship between variables in either direction. |
Result | Greater or less than certain value. | Greater or less than certain range of values. |
Sign in alternative hypothesis | > or < | ≠ |
If you consider the consequences of missing an effect in the untested direction and conclude that they are negligible and in no way irresponsible or unethical, then you can proceed with a one-tailed test. For example, imagine again that you have developed a new drug. It is cheaper than the existing drug and, you believe, no less effective. In testing this drug, you are only interested in testing if it less effective than the existing drug. You do not care if it is significantly more effective. You only wish to show that it is not less effective. In this scenario, a one-tailed test would be appropriate.
A two-tailed test can be used during certain production activities, such as with the production and packaging of candy at a particular facility. If the production facility designates 50 candies per bag as its goal, with an acceptable distribution of 45 to 55 candies, any bag found with an amount below 45 or above 55 is considered within the rejection range.