Hypothesis:

Hypothesis is an assumption or preposition to be proved or disproved. For a

researcher hypothesis is a formal question that he intends to solve.

A proposition or set of prepositions set forth as an explanation for the occurrence of

some specified group of phenomena either asserted nearly as a propositional
conjecture to guide some investigation or accepted as highly probable in light of
established facts.

Characteristics of hypotheses:

1. It is conceptual in nature,

2. It is basically a verbal statement in declarative type

3. It is an experimental term which highlights the tentative relationship between

two or more variables.

4. A hypothesis must be valid. It must be closely related to the phenomenon it is

trying to explain.

Importance of hypothesis:

1. It basically acts as the eyes of investigator by supporting the investigator in

finding out answers for tentatively following generalization.

2. It emphasis upon research.

3. In absence of research hypothesis is used as the research means.

4. It acts as an important link between theory and investigation.

5. It provides a clear and particular objectives to the research worker and facilities
him by offering a base for sample selection and research method for achieving the
set objectives.

6. It acts as the key function of clubbing together all the associated facts and
information into one.

7. It helps in avoiding a blend search and random collection of data which might
later on tense to be unnecessary for the problem which is being studied.

8. It acts as one of the powerful tool which helps in showing the right path for the
research work.
Types of hypotheses:

Types of Hypothesis
Question Hypothesis

Declaration
Hypothesis

Directional
Hyothesis

Null/Non-directional
Hypothesis
1.
Question Hypothesis:

It is regarded as the simplest form of empirical observation. Under this type, the
hypothesis is usually represented in a simple question form. It does not serve as
the definition of hypothesis that is it does not convey the meaning of the
hypothesis. This type of hypothesis is mostly used in those research projects which
needs to find out an answer to a simple question.

Ex: is there any effect of reinforced advertisement on the product sales volume?

2. Declaration statement:

In declaration hypothesis the researcher basically builds and imaginary

relationship between two independent variables, on the basis of study by using the
historical data.

Ex: there is a direct effect of reinforced advertisement upon the product sales
volume.

3. Directional hypothesis:

Directional hypothesis basically emphasis upon drawing and expected direction for
the existing relationship between different variables. The key attributes of this
hypothesis are:

a. The researcher who uses this type of hypothesis is usually confident about the
assumed evidence.

b. This type of hypothesis holds the following two conditions

(i) the problem of building relationship between different variables is so obvious
that no for the supporting evidence is required.

(ii) researcher instill the variables very clearly and that the existing evidence
supports the directional statement.

Ex: product sales volume can be increased by using excessive rain forced
advertisement whereas the failure to initiate such an advertisement would greatly
affect the product sales volume.

4. Null or non-directional hypothesis:

The non directional hypothesis is explained in the negative form that is it takes
that there exist no relationship between two different variables this type of
hypothesis is statistical in nature and can be measured within the framework of
the probability theory. It usually gives a negative outcome to the researcher.
Therefore it is considered or called as non directional in nature.

Ex: there is no impact of reinforced advertisement upon the product sales volume
and null hypothesis refers to zero hypothesis and researcher needs nothing to
develop anal hypothesis that is there is no need of a research to develop anal
hypothesis. It is the best suitable form for a competitive object of the research for
finding out the research information.

Statistical hypothesis:

Statistical hypothesis are statements about the probability distributions of

populations there are two types of hypothesis. They are

a. Null hypothesis:

Hypothesis which is tested for possible under the assumption that is true. A
definite statement about the population parameters for applying the test of
significance is called the null hypothesis which is usually a hypothesis of an
difference.

Ex: H 0 μ=μ H 0

Ex: decide whether a given computer performs well we form the hypothesis that the
computer is doing well that is P = 100% where P is the probability of success.

b. Alternate hypothesis:

The hypothesis which reforms hypothesis is known as alternate hypothesis. To be

able to construct suitable criteria for testing statistical hypothesis it is necessary
that we also formulate alternate hypothesis.

Any hypothesis which is complementary to the null hypothesis is called alternate

hypothesis and is usually denoted by the symbol H1.

For example if we want, to test the null hypothesis that the average height of
soldiers is 165 cms
 H a μ ≠ μ H a , μ > H 0 , μ< H 0

Example:

If null hypothesis is p = 100%, possible alternative hypothesis are

P ≠ 100 %∨P>100 %∨P<100 %

Therefore, in order to test the null hypothesis that the population has a specified
mean, μ0 that is H 0 =μ=μ0

Then the alternative hypothesis would be

(i) H a : μ ≠ μ 0 ( two−tailed alternative )

(ii) H a : μ> μ0 ¿ tailed alternative ¿¿
(iii) H a : μ< μ0 ( ¿ tailed alternative )
(iv)

The various concepts used in hypothesis testing are:

1. Simple hypothesis:

Simple hypothesis statistical hypothesis which completely specifies an exact

parameter p.

Null hypothesis is always a simple hypothesistated as an equalities specifying an

exact value of the perimeter.

Examples:

( i ) H 0 : μ=μ 0 that is

Population mean equals to a specified constant μ0

( ii ) H 0 :μ 1−μ2=δ

That is the difference between sample mean is the constant δ

2. Composite hypothesis:

Composite hypothesis is stated in terms of several possible values that is by an

inequality.

An alternative hypothesis is a composite hypothesis involving statements expressed

as inequalities such as < , >, =

(i) H 0 : μ> μ0
(ii) H 0 : μ< μ0
(iii) H 0 : μ≠ μ0
 (iv)

3. Test statistic:

To test whether the null hypothesis setup should be accepted or rejected be used at
a statistics which is based on appropriate probability distribution. For this
purpose z distribution and the normal curve is used for large samples that is in
greater than or equal to 30 and T distribution is used for small samples that is n
less than or equal to 30.

4. Level of significance:

Interesting of a given hypothesis the maximum probability with which we would be

willing to this a type 1 error is called the level of significance of the test.

It is denoted by Alpha and in other words it is the maximum probability of making

type one error.
5. Power of a test:

Over of attes is the probability of rejecting h not given that the specific alternative is
true the power of a test can be completed as 1 - beta often different types of test are
compared by contrasting power properties.

6. Critical region

The area under the probability curve is divided into two regions

a. Region of rejection (significant region) where null hypothesis is rejected.

b. Region of acceptance (non significant region) where null hypothesis is accepted.

Critical region is the region of rejection of null hypothesis. The area of the critical
region equals to the level of significance Alpha.

7. One tailed and two tailed tests:

A test of any statistical hypothesis where alternate hypothesis is expressed by the

symbol greater than or less than sold one-tailed test.

However the entire critical region lies in one tale of the distribution of the test
statistic.

The critical region for all alternative hypothesis containing the symbol greater than
lies entirely in the right tail of the distribution while the critical region for an
alternative hypothesis containing the symbol less than lies entirely in the left tail.

The symbol indicates the direction where the critical region lies.

It is of any statistical hypothesis where the alternative is written with the symbol
not equal to is called to tell test however region is split into two equal parts one in
each tale of the distribution of the test statistic.
The critical region lies on both sides of the right and left tails of the curve such that
the critical region of area alphabet to lies on the right tail and critical region of area
alphabet to lies on the left tail as shown in the two tail test.

Application of one and two tail tests

Two tail test physics the null hypothesis if say the sample mean is significantly
higher or lower than the hypothesised value of the mean of the population.

Such a test is appropriate when the null hypothesis is some specified value and
alternate hypothesis is a value not equal to the specified value of null hypothesis.

Even tail test would be used when we are to test say whether the population mean
is either lower than or higher than some hypothesised value when we are interested
in knowing whether population mean is lower than the hypothesised mean then it
is a left tail test. But when we want to know whether population mean is higher
than the hypothesised mean then it is a right tail test.

8. Critical value of significant values:

The value of test statistic with separates the area under probability curve into
critical region and non critical region.

It depends upon the following

(i) level of significance

(ii) alternative hypothesis
x −μ
Z=
σ where x is the mean of the sample, μ is the mean of the
n
population and σ is the standard deviation and n is the number of
observations.

9. Decision rule or test of hypothesis:

Given a hypothesis H0 and an alternate hypothesis Ha , we make a rule which is

known as decision rule according to which either we accept H0 or reject H0

By comparing the critical value and the calculated value we reject or accept the
null hypothesis at 5% or 1% level of significance as follows:

If Z calculated value and Z α is the critical value or table value then

a. two tailed test

if |z|≠ z α at 5 %∨1 % Level of significance Reject H 0
if |z|=z α at 5 %∨1% Level of significance Accept H 0
b. Right tailed test
if |z|≥ z α at 5 %∨1 % Level of significance Reject H 0
if |z|< z α at 5 %∨1 % Level of significance Accept H 0
c. Left tailed test:
if |z|≤ z α at 5 %∨1 % Level of significance Reject H 0
if |z|> z α at 5 %∨1 % Level of significance Accept H 0

Procedure and rules for testing:

 State H0 and Ha

Specify the level of

significance

Decide the correct

sampling distribution

Select a random
sample and workout
an appropriate value
from sample data

Calculate the
probability that
sample result would
diverge as widely as it
has from expectations,
if H0 were true.

is this probability
equal to or less than
and for one and two
tail respectively

If this process is Yes then Reject H0

If this Process is No then accept H0

Step1: State H0 and Ha

Step 2. Specify the level of significance

Step3: Decide the correct sampling distribution

Step 4: selected random sample and workout and appropriate value from sample
data

Step5: calculate the probability that sample result would diverge as widely as it is it
has from expectations if H0 were true.

Step 6. Is this probability equal to or less than alpha and alphabet to for 1 and 2
tail respectively.

Hypothesis testing of means and proportions:

These tests pertain to judgements made about the population mean. The choice of
technique to be used is influenced by factors like normality of population, size of
sample, whether the variance of population is known or unknown and whether it is
one-tailed or two tailed.

If the population variance is known, then sample size becomes irrelevant because
the normal distribution and related Z-tables can be used. However, when
population variance is unknown then sample size dictates the choice of the
probability standard distribution.

Hypothesis testing of single mean

 a. When population variance is known:
Population normal and infinite, sample size may be large or small, Ha may
be one sided or two sided:
X−μ
Z=¿ σ
√n( )
where X = Sample mean
μ = Hypothesised population mean
σ = population variance
√ n = size of sample

(ii)Population normal and finite, sample size may be large or small, Ha may
be one sided or two sided

X −μ
¿
Z
( )
σ
√n
x
√
(N−n)
(N −1)

Where N is the size of population

(iii) Population may not be normal, population infinite but sample size large,
Ha may be one sided or two sided, then
X−μ
Z=¿ σp
√n ( )
b. When population variance is unknown:
(i) Population normal and infinite, sample size small, Ha
may be one sided or two sided
X−μ
t=

( )
σ p with d.f =(n-1)
√n
(ii) Population normal and finite, sample size small, Ha
may be one sided or two sided,

X −μ

( √σn ) x √ (N −1) with df. (n-1)

t=¿ (N−n)
σ =¿
√ ∑ ( X− X )2
(n−1)

Problems:

1. CSO estimates that the average annual income of all

the wage earners in India is Rs. 75000 with a
standard deviation of Rs.6000. A private research
organisation was asked to test the official estimate
at 5% level of significance. A random sample of 600
wage earners was taken across the country and
found the sample mean as Rs. 73,250.
Null hypothesis H0 : μ=75000
Alternate hypothesis Ha : μ ≠75000
The population is infinite, sample size is large and
population variance is known.
X−μ
Therefore Z = σ
√n
Sample mean = 73,250
Population mean = 75000
Standard deviation = 6000
Sample size = 3,600
Z = -17.5
At 5% level of significance Z = 1.645
Since calculated Z = - 17.5 < Z table value 1.645
Implies null hypothesis is rejected.
Hence the average annual income of all the wage
earners in India is less than 75000.
 2. A machine is designed to produce insulated washers
with an average thickness of 0.025 cms. A random
sample of 10 washers was found to have an average
thickness of 0.024 cms and a standard deviation of
0.002 cms. Test the significance of the deviation
( take the tabulated value of t for 9d.f. at 0.05 level
as 2.262)
H0 : μ = 0.025
Ha : μ ≠ 0.025

x−μ
t=
σs = -1.58
√n
Since the calculated value of t is less than 2.262, Ho
is accepted. We concluded that the average
thickness of washer is 0.025 cms only.
3. The mean price of shares of Andhra bank during
2004 was $s. 64 . in the year 2005 the mean price
of Andhra Bank for 20 randomly selected days is
found to be Rs. 84 with a standard deviation of $s.
4.50. Test whether there is significant difference in
the price of the shares for the two years at 5% level
of significance.
H0 : μ = 64
Ha : μ ≠ 64

x−μ
t=
σs = 19.877
√n
df =n−1=20−1=19
For 19 df t0.05 = 2.093
Since t calculated is greater than t table , null hypothesis
is rejected.
 4. A random sample of male employees is taken at the
end of a year and the mean number of hours of
absenteeism for the year is found to be 63 hours. A
similar sample of 50 female employees has a mean
of 66 hours. Could these samples be drawn from a
population with same mean and standard deviation
of 10 hours? State clearly the assumption you
make?
Ho: Samples are drawn from same population
Ha: Samples are drawn from population with
different means
x 1−x 2
z= =−1.5
σ
√
2
n
Z values lies in the acceptance region , Ho accepted.

Z test for testing the difference between two means:

( x 1−x 2 )−(μ 1−μ2 )
z=

√
2 2
S1 S2
+
n1 n2

The critical regions for tests (μ1−μ 2) =δ

(i) Ha: ( μ1−μ 2) ≠ δ , Reject Ho
z <−z α z>zα
if 2
or 2

(ii) Ha : ( μ1−μ 2) > ¿ δ , Reject Ho

z > zα
(iii) Ha : ( μ1−μ 2) < ¿ δ , Reject Ho
z < zα
if δ=0 then there is no difference between the population mean .

When Ho : ( μ1−μ 2) =0 ie . ,δ=0

(iv) Ha: ( μ1 ≠ μ 2) , Reject Ho
z <−z α z>zα
if 2
or 2
 (v) Ha : ( μ1 > μ2 ) , Reject Ho
z > zα
(vi) Ha : ( μ1 < μ2 ) , Reject Ho
z <−z α

Intelligence test on two groups of boys and girls gave the

following results.

Mean SD N
Girls 75 15 150
Boys 70 20 250
Is there a significant difference in the mean scores
obtained by boys and girls.
Ho : μ1=μ2

Ha: μ1 ≠ μ2

Two tail test

2 2
Girls x 1=75 S 1=15 =225 n 1=150
2 2
Boys x 2=70 S 2=20 =400 n1=250

( x 1−x 2 )−(μ 1−μ2 )

z= =2.8398

√
2 2
S1 S2
+
n1 n2

At 5% level of significance Z α = 1.96 since it is a two tail

test.
Since 2.8398 >1.96 null hypothesis is rejected.
2. A factory uses process A and process B for
manufacturing the same item. The average weight in a
sample of 250 items produced from process A is found to
be 120 grams with a standard deviation of 12 grams,
while for the process B average weight in a sample of 400
items is found to be 124 grams with a standard deviation
of 14 grams. Test whether the average weights of both
the processes are same.
( x 1−x 2 )−(μ 1−μ2 )
z=

√
2 2
S1 S2
+
n1 n2

Z = -3.87420
Reject Ho.
Chi square test:
The square of a standard normal variable is called a chi
square which variate with one degree of freedom. It is
expressed as χ 2 .
A chi square test can be used when the data satisfies four conditions:

i. There must be two observed sets of data or one

observed set of data and one expected set of data.
ii. The two sets of data must be based on the same
sample size.