Chapter 4: Problem 88
Using the \(\mathrm{p}\) -value given, are the results significant at a \(10 \%\) level? At a \(5 \%\) level? At a \(1 \%\) level? p-value \(=0.0320\)
Short Answer
Expert verified
Yes, the results are significant at the \(10 \% \) and \(5 \% \) levels, but not at the \(1 \% \) level.
Step by step solution
01
Comparing p-value with the 10% significance level
The \(10 \% \) significance level corresponds to a threshold value of \(0.10\). Comparing our p-value of \(0.0320\) to the \(10 \% \) significance level, we see that \(0.0320\) is less than \(0.10\). Therefore, the results are significant at the \(10 \% \) level.
02
Comparing p-value with the 5% significance level
The \(5 \% \) significance level corresponds to a threshold value of \(0.05\). Comparing our p-value of \(0.0320\) to the \(5 \% \) significance level, we see that \(0.0320\) is less than \(0.05\). Therefore, the results are significant at the \(5 \% \) level.
03
Comparing p-value with the 1% significance level
The \(1 \% \) significance level corresponds to a threshold value of \(0.01\). Comparing our p-value of \(0.0320\) to the \(1 \% \) significance level, we see that \(0.0320\) is greater than \(0.01\). Therefore, the results are not significant at the \(1 \% \) level.
Unlock Step-by-Step Solutions & Ace Your Exams!
-
Full Textbook Solutions
Get detailed explanations and key concepts
-
Unlimited Al creation
Al flashcards, explanations, exams and more...
-
Ads-free access
To over 500 millions flashcards
-
Money-back guarantee
We refund you if you fail your exam.
Over 30 million students worldwide already upgrade their learning with 91Ó°ÊÓ!
Key Concepts
These are the key concepts you need to understand to accurately answer the question.
P-value Interpretation
The p-value is a central concept in statistical hypothesis testing. It is used to measure the strength of evidence against the null hypothesis.
Think of the p-value as the probability of observing your data, or something more extreme, if the null hypothesis were true. A small p-value suggests that such an observation is unlikely under the null hypothesis.
Think of the p-value as the probability of observing your data, or something more extreme, if the null hypothesis were true. A small p-value suggests that such an observation is unlikely under the null hypothesis.
- A **small p-value** (typically ≤ 0.05) indicates strong evidence against the null hypothesis. Thus, you may reject the null hypothesis.
- A **large p-value** (above 0.05) suggests weak evidence against the null hypothesis, meaning a failure to reject the null hypothesis.
Significance Levels
Significance levels are thresholds that help determine how strong the evidence should be to reject the null hypothesis. They provide a criteria or cut-off point to decide if a result is statistically significant.
The most commonly used significance levels are:
The most commonly used significance levels are:
- **10% level** (0.10): Indicates moderate evidence against the null hypothesis.
- **5% level** (0.05): Implies strong evidence against the null hypothesis.
- **1% level** (0.01): Requires very strong evidence against the null hypothesis.
- At the **10% significance level**, 0.0320 is less than 0.10, indicating significant results.
- At the **5% significance level**, 0.0320 is less than 0.05, still signifying significant results.
- At the **1% significance level**, 0.0320 is greater than 0.01, meaning the results are not significant.
Hypothesis Testing
Hypothesis testing is a method used to make decisions about a population based on sample data. The basic idea is to test whether there is enough evidence in the sample data to infer that a certain condition holds true for the entire population.
Here are the key steps involved in hypothesis testing:
Here are the key steps involved in hypothesis testing:
- **Formulate the Null and Alternative Hypotheses**: The null hypothesis ( H_0 ) generally states there is no effect or difference. The alternative hypothesis ( H_a ) suggests what we suspect or hope to prove.
- **Choose a Significance Level**: This is the threshold at which you decide whether to accept or reject the null hypothesis. Typically, it is set at 0.05 or 5%.
- **Calculate the P-value**: Using statistical methods, derive the p-value from your data.
- **Decision**: Compare the p-value to the chosen significance level:
- If the p-value ≤ significance level, reject the null hypothesis.
- If the p-value > significance level, fail to reject the null hypothesis.