Estimation and Hypothesis Testing
Estimation and Hypothesis Testing
Estimation and Hypothesis Testing
Hypothesis testing
Purpose
o Make decisions about
population characteristics
Hypothesis
Estimation
testing
One Point
sample estimation
Two Interval
samples estimation
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Inferential process
Statistic Parameter
Mean: X estimate
Variance: s2 estimate
Standard
2
deviation:
s estimate
Proportion: p estimate
:
From entire
From sample
population
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Estimation
Estimation
Point Interval
estimation estimation
2. Interval estimation
o Interpretation = ???
Ans: (0.36, 0.46)
Interpretation; We are 95% sure/confident that the proportion of
populations who had regular dental checkup twice a year is between CI
(0.36, 0.46)
PRECISION COST
∆
We use a sample
mean as a point
estimate of
• AIM: Estimate µ
• WANT: Estimate ( ) ± d units
where d = Margin of error =
= Absolute precision
= Half of the width (w) of CI
Steps:
1. Specify d (or w = 2d)
2. Use known σ2 or estimate using s2
Suppose d=1
Then the sample size increases
Assume the
population
mean age is 50.
( H 0 : 50) Identify the Population
Is X 20 likely if ?
Take a Sample
No, not likely!
REJECT H0
X 20
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Type of statistical hypotheses
Alternative hypotheses
Alternative hypotheses
H 0: =
H A:
H 0: =
H 1: <
H 0: =
H 1: >
.5
Form of Ha: < 0
1-tail hypothesis
.5
If z< -z
.5
Form of Ha: > o
1-tail hypothesis
.5
If z> z
♦ 5) Draw conclusion
Zcal =
1) Ho:µ=100 Vs HA:µ≠100
to 1.96(Z-tab).
3) Z-cal=(110-100)8/10=8
The mean enzyme level in the population is not different from 25.
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Reading Assignment!!
2. Type II Error
Probability of accepting null hypothesis when its false
Probability of failing to reject null hypothesis when its
false
Probability of rejecting a true alternative hypothesis
Probability of Type II Error is (Beta)
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Power of a statistical test
Significance level
– Increases when decreases
Population standard deviation
– Increases when increases
Sample size
– Increases when n decreases
n
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Decision Results
H0: Innocent
Jury Trial H0 Test
Actual Situation Actual Situation
Estimation
Hypothesis testing
Sample size determination
B. Interpretation?