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Statistics · College

Statistics: Hypothesis Testing Fundamentals

Null and alternative hypotheses, p-values, significance levels, and Type I and II errors. Front: the term. Back: a plain-language definition.

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Null hypothesis
The default claim stating there is no effect, no difference, or no relationship; denoted H0.
Alternative hypothesis
The claim being tested as a replacement for the null; states that an effect, difference, or relationship exists; denoted H1 or Ha.
Type I error
Rejecting the null hypothesis when it is actually true; a false positive.
Type II error
Failing to reject the null hypothesis when it is actually false; a false negative.
P-value
The probability of observing a test result as extreme as the one obtained, assuming the null hypothesis is true.
Significance level
The threshold probability for rejecting the null hypothesis; denoted alpha. Commonly set at 0.05 or 0.01.
Statistical significance
The result of a test where the p-value is less than the chosen significance level; indicates the result is unlikely under the null hypothesis.
Beta
The probability of making a Type II error.
Power
The probability of correctly rejecting the null hypothesis when it is actually false; equals 1 minus beta.
One-tailed test
A hypothesis test where the alternative hypothesis specifies the direction of the difference or effect (greater than or less than).
Two-tailed test
A hypothesis test where the alternative hypothesis specifies only that a difference or effect exists, without specifying direction.
Critical value
The boundary value of the test statistic that marks the edge of the rejection region.
Rejection region
The range of test statistic values that lead to rejecting the null hypothesis.
Test statistic
A value calculated from the sample data using a specific formula; compared to the critical value to decide whether to reject the null.
Effect size
A measure of the magnitude or practical importance of the difference or relationship being tested, independent of sample size.

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