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Stats - Type of Tests
Stats - Type of Tests
Stats:TypeofTests
Thisdocumentwillexplainhowtodetermineifthetestisalefttail,righttail,ortwotailtest.
ThetypeoftestisdeterminedbytheAlternativeHypothesis(H1)
LeftTailedTest
H1:parameter<value
Noticetheinequalitypointstotheleft
DecisionRule:RejectH0ift.s.<c.v.
RightTailedTest
H1:parameter>value
Noticetheinequalitypointstotheright
DecisionRule:RejectH0ift.s.>c.v.
TwoTailedTest
H1:parameternotequalvalue
Anotherwaytowritenotequalis<or>
Noticetheinequalitypointstobothsides
DecisionRule:RejectH0ift.s.<c.v.(left)ort.s.>c.v.(right)
Thedecisionrulecanbesummarizedasfollows:
RejectH0iftheteststatisticfallsinthecriticalregion
(RejectH0iftheteststatisticismoreextremethanthecriticalvalue)
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