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Chapter 12: Hypothesis Tests – Large Samples

521

Summary of Hypothesis Tests

(a) Right –tailed (one-tailed) Test

(where

is a specified proportion value)

: For a specified significance level

, reject the null hypothesis

if the computed test statistic value

z

is greater than +

z

.

Conclusion

: ……….

Notes

:

1.

This is a right-tailed test because the direction of the inequality sign in

is to the right.

2.

This test falls under the category of the

classical approach

to

hypothesis testing because we will be comparing a test statistic value

to a critical value from a probability distribution.

3.

Recall that the null hypothesis states that there is no difference

between a parameter (or parameters) and a specified value. This

means we should use an equal sign in the statement of the null

hypothesis. However, instead of the equal sign we will use the

equivalent complement symbol which is used in the alternative

hypothesis.

4.

For instance, if we have “>” in the alternative hypothesis, then we will

use the complement symbol “

” in the null hypothesis. This does not

change the definition of the null hypothesis because during the

hypothesis test we assume that the null hypothesis is true and we test

at the “=” sign. That is, we will assume that the parameter is equal to

the specified value during the test procedure.