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Unformatted text preview: 1 The CriticalValue Approach to Hypothesis Testing Recall that for the pvalue approach to hypothesis testing we: 1. Stated the null and alternative hypotheses 2. Calculated the probability of observing a sample statistic as contrary to the null hypothesis as what we did observe from our sample data. (If the hypothesis test was onetailed, the calculated probability was our reported pvalue. If the hypothesis test was twotailed, we doubled our calculated probability and reported that for our pvalue). 3. We compared our pvalue to our level of significance for testing ( ). If our pvalue was less than , we rejected the null hypothesis. Otherwise, we could not reject the null hypothesis. In the critical value approach to hypothesis testing we do the following: 1. State the null and alternative hypotheses 2. Select the level of significance 3. Select the critical value of the test statistic 4. Formulate decision rule 5. Determine the calculated value of the test statistic and either...
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 Fall '09
 Rollins

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