Stat 226 - Section 6.3 - Introduction Section 6.3 Using...

Info icon This preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Section 6.3 Using Significance Tests Section 6.3 1 Introduction Significance tests are widely used in reporting the results of research in many fields of applied science and in industry. Statistical significance is valued because it points to a result that is unlikely to occur simply by chance alone. Software makes the computation of test statistics and p -values straightforward. Applying tests appropriately can be challenging. Section 6.3 2 What is a convincing p -value? The purpose of a significance test is to describe the evidence that the sample provides against the null hypothesis. The p -value is a quantitative measure of this evidence. How small should the p -value be to be considered convincing evidence? One option is to use our fixed level of significance α , but this is somewhat arbitrary. Section 6.3 3 Considerations for p -values Some considerations in assessing p -values: How plausible is H 0 ? If H 0 represents a long-standing belief, strong evidence (a small p -value ) will be needed to persuade the audience. What are the consequences of rejecting H 0 ? If rejecting H 0 in favor of H A requires expensive adjustments, strong evidence will be needed to justify the expense. Would even small amounts of evidence be useful? Often in pilot studies or multi-variable studies, modest p-values will give clues about variables or relationships that should be investigated more thoroughly. Section 6.3 4 Reporting p -values Recall that the choice of significance level α is arbitrary. Traditional standard levels have included 1%, 5% and 10%.
Image of page 1

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern