For the same confidence level, narrower confidence intervals can be achieved by using larger sample sizes.

Slides:



Advertisements
Similar presentations
BPS - 5th Ed. Chapter 151 Thinking about Inference.
Advertisements

Inference Sampling distributions Hypothesis testing.
Topic 6: Introduction to Hypothesis Testing
Evaluating Hypotheses Chapter 9. Descriptive vs. Inferential Statistics n Descriptive l quantitative descriptions of characteristics.
Introduction to Inference Estimating with Confidence Chapter 6.1.
Evaluating Hypotheses Chapter 9 Homework: 1-9. Descriptive vs. Inferential Statistics n Descriptive l quantitative descriptions of characteristics ~
BCOR 1020 Business Statistics Lecture 21 – April 8, 2008.
Chapter 11: Inference for Distributions
Chapter 9 Hypothesis Testing.
Statistics for Managers Using Microsoft® Excel 5th Edition
Chapter 10: Estimating with Confidence
Objectives (BPS chapter 14)
Confidence Intervals and Hypothesis Testing - II
Statistical Inference: Which Statistical Test To Use? Pınar Ay, MD, MPH Marmara University School of Medicine Department of Public Health
Introduction to Biostatistics and Bioinformatics
Fundamentals of Hypothesis Testing: One-Sample Tests
Review of Statistical Inference Prepared by Vera Tabakova, East Carolina University ECON 4550 Econometrics Memorial University of Newfoundland.
Inference in practice BPS chapter 16 © 2006 W.H. Freeman and Company.
14. Introduction to inference
June 18, 2008Stat Lecture 11 - Confidence Intervals 1 Introduction to Inference Sampling Distributions, Confidence Intervals and Hypothesis Testing.
+ The Practice of Statistics, 4 th edition – For AP* STARNES, YATES, MOORE Chapter 9: Testing a Claim Section 9.3a Tests About a Population Mean.
+ Chapter 9 Summary. + Section 9.1 Significance Tests: The Basics After this section, you should be able to… STATE correct hypotheses for a significance.
BPS - 3rd Ed. Chapter 151 Inference in Practice. BPS - 3rd Ed. Chapter 152  If we know the standard deviation  of the population, a confidence interval.
1 Today Null and alternative hypotheses 1- and 2-tailed tests Regions of rejection Sampling distributions The Central Limit Theorem Standard errors z-tests.
CHAPTER 16: Inference in Practice. Chapter 16 Concepts 2  Conditions for Inference in Practice  Cautions About Confidence Intervals  Cautions About.
QBM117 Business Statistics Estimating the population mean , when the population variance  2, is known.
PARAMETRIC STATISTICAL INFERENCE
Significance Tests: THE BASICS Could it happen by chance alone?
A Broad Overview of Key Statistical Concepts. An Overview of Our Review Populations and samples Parameters and statistics Confidence intervals Hypothesis.
Introduction to inference Use and abuse of tests; power and decision IPS chapters 6.3 and 6.4 © 2006 W.H. Freeman and Company.
CHAPTER 16: Inference in Practice ESSENTIAL STATISTICS Second Edition David S. Moore, William I. Notz, and Michael A. Fligner Lecture Presentation.
1 Chapter 10: Introduction to Inference. 2 Inference Inference is the statistical process by which we use information collected from a sample to infer.
CHAPTER 9 Testing a Claim
Lecture 16 Section 8.1 Objectives: Testing Statistical Hypotheses − Stating hypotheses statements − Type I and II errors − Conducting a hypothesis test.
Copyright © 2013, 2009, and 2007, Pearson Education, Inc. Chapter 13 Multiple Regression Section 13.3 Using Multiple Regression to Make Inferences.
Essential Statistics Chapter 141 Thinking about Inference.
Chapter 8 Delving Into The Use of Inference 8.1 Estimating with Confidence 8.2 Use and Abuse of Tests.
Statistics 101 Chapter 10 Section 2. How to run a significance test Step 1: Identify the population of interest and the parameter you want to draw conclusions.
Economics 173 Business Statistics Lecture 4 Fall, 2001 Professor J. Petry
Ch 10 – Intro To Inference 10.1: Estimating with Confidence 10.2 Tests of Significance 10.3 Making Sense of Statistical Significance 10.4 Inference as.
Confidence intervals: The basics BPS chapter 14 © 2006 W.H. Freeman and Company.
Chap 8-1 Fundamentals of Hypothesis Testing: One-Sample Tests.
Ex St 801 Statistical Methods Inference about a Single Population Mean.
CHAPTER 16: Inference in Practice ESSENTIAL STATISTICS Second Edition David S. Moore, William I. Notz, and Michael A. Fligner Lecture Presentation.
BPS - 5th Ed. Chapter 151 Thinking about Inference.
Lecture PowerPoint Slides Basic Practice of Statistics 7 th Edition.
AP Statistics Chapter 11 Notes. Significance Test & Hypothesis Significance test: a formal procedure for comparing observed data with a hypothesis whose.
Introduction to inference Estimating with confidence IPS chapter 6.1 © 2006 W.H. Freeman and Company.
Chapter 7 Data for Decisions. Population vs Sample A Population in a statistical study is the entire group of individuals about which we want information.
The Practice of Statistics, 5th Edition Starnes, Tabor, Yates, Moore Bedford Freeman Worth Publishers CHAPTER 9 Testing a Claim 9.2 Tests About a Population.
Chapter 7 Introduction to Sampling Distributions Business Statistics: QMIS 220, by Dr. M. Zainal.
Lecture PowerPoint Slides Basic Practice of Statistics 7 th Edition.
Uncertainty and confidence Although the sample mean,, is a unique number for any particular sample, if you pick a different sample you will probably get.
Statistics for Business and Economics Module 1:Probability Theory and Statistical Inference Spring 2010 Lecture 8: Tests of significance and confidence.
Uncertainty and confidence If you picked different samples from a population, you would probably get different sample means ( x ̅ ) and virtually none.
Copyright © 2010, 2007, 2004 Pearson Education, Inc. Chapter 21 More About Tests and Intervals.
More on Inference.
CHAPTER 9 Testing a Claim
The Practice of Statistics in the Life Sciences Third Edition
Introduction to inference Use and abuse of tests; power and decision
More on Inference.
Confidence intervals: The basics
CHAPTER 18: Inference in Practice
The Practice of Statistics in the Life Sciences Fourth Edition
Essential Statistics Thinking about Inference
Confidence intervals: The basics
CHAPTER 16: Inference in Practice
Objectives 6.1 Estimating with confidence Statistical confidence
Objectives 6.1 Estimating with confidence Statistical confidence
Essential Statistics Thinking about Inference
Presentation transcript:

For the same confidence level, narrower confidence intervals can be achieved by using larger sample sizes.

Sample size and experimental design You may need a certain margin of error (e.g., drug trial, manufacturing specs). In many cases, the population standard deviation (  is fixed, but we can choose the number of measurements (n). Using simple algebra, you can find what sample size is needed to obtain a desired margin of error.

Density of bacteria in solution A measuring equipment gives results that vary Normally with standard deviation σ = 1 million bacteria/ml fluid. How many measurements should you make to obtain a margin of error of at most 0.5 million bacteria/ml with a confidence level of 90%? For a 90% confidence interval, z*= Using only 10 measurements will not be enough to ensure that m is no more than 0.5 million/ml. Therefore, we need at least 11 measurements.

The margin of error does not cover all errors: It covers only random sampling error. Undercoverage, nonresponse or other forms of bias are often more serious than random sampling error. For instance, most opinion polls have very high nonresponse (about 90%). This is not taken into account in the margin of error. Undercoverage is a type of selection bias. It occurs when some members of the population are inadequately represented in the sample. Ex) The Literary Digest voter survey predicted that Alfred Landon (R) would beat Franklin Roosevelt (D) in the 1936 presidential election. The survey sample suffered from undercoverage of low-income voters, who tended to be Democrats. Results: Roosevelt’s dominant victory (523 vs. 8 electoral votes)selection bias populationsample Cautionary note on CI in practice

Statistical significance only says whether the effect observed is likely to be due to chance alone because of random sampling.  Statistical significance doesn’t tell about the magnitude of the effect.  Statistical significance may not be practically important.  With a large sample size, even a small effect could be significant. A drug to lower temperature is found to consistently lower a patient’s temperature by 0.4° Celsius (P-value < 0.01). But clinical benefits of temperature reduction require a 1°C decrease or greater. Plot your results, compare them with a baseline or similar studies. Significance tests in practice

Sample size affects statistical significance  Because large random samples have small chance variation, very small population effects can be highly significant if the sample is large.  Because small random samples have a lot of chance variation, even large population effects can fail to be significant if the sample is small.

Type I and II errors Statistical conclusions are not perfect.  A Type I error occurs when we reject the null hypothesis but the null hypothesis is actually true (incorrectly reject a true H 0 ).  A Type II error occurs when we fail to reject the null hypothesis but the null hypothesis is actually false (incorrectly keep a false H 0 ).

A Type II error is not definitive because “failing to reject the null hypothesis” does not imply that the null hypothesis is true.  The probability of making a Type I error (incorrectly rejecting a true H 0 ) is the significance level .  The probability of making a Type II error (incorrectly keeping a false H 0 ) is labeled , a computed value that depends on a number of factors. The power of a test is defined as the value 1 − .

A regulatory agency checks air quality for evidence of unsafe levels (> 5.0 ppt) of nitrogen oxide (NO x ). The agency gathers NO x concentrations in an urban area on a random sample of 60 different days and calculates a test of significance to assess whether the mean level of NO x is greater than 5.0 ppt. A Type I error here would be to believe that the population mean NO x level A. exceeds 5.0 ppt when it really does. B. exceeds 5.0 ppt when it really doesn’t. C. is 5.0 ppt or less when it really is. D. is 5.0 ppt or less when it really isn’t.

The power of a test The power of a test of hypothesis is its ability to detect a specified effect size (reject H 0 when H a is true) at significance level α. The specified effect size is chosen to represent a biologically/practically meaningful magnitude. What affects power?  The size of the specified effect  The significance level α  The sample size n  The population variance σ 2

Do poor mothers have smaller babies? The national average birth weight is 120 oz: N(  natl =120,  = 24 oz). We want to be able to detect an average birth weight of 114 oz (5% lower than the national average). What power would we get from an SRS of 100 babies born of poor mothers if we chose a significance level of 0.05?  80%

Beware of multiple analyses The probability of incorrectly rejecting H 0 (Type I error) is the significance level . If we set  = 5% and make multiple analyses, we can expect to make a Type I error about 5% of the time.  If you run only 1 analysis, this is not a problem.  If you try the same analysis with 100 random samples, you can expect about 5 of them to be significant even if H 0 is true. You run a test of hypotheses for extra sensory perception on an individual chosen at random. You then run the same test on 19 other individuals also chosen at random. What's wrong with that? For a significance level  5%, you can expect that one individual will have a significant result just by chance even if extrasensory perception doesn’t exist.

Cell phones and brain cancer Might the radiation from cell phones be harmful to users? Many studies have found little or no connection between using cell phones and various illnesses. Here is part of a news account of one study: A hospital study that compared brain cancer patients and similar patients without brain cancer found no statistically significant association between cell phone use and brain cancer (glioma). But when 20 types of glioma were considered separately, an association was found between phone use and one rare form of glioma. Puzzlingly, however, this risk appeared to decrease rather than increase with greater cell phone use. Interpretation?

 The data must be a probability sample or come from a randomized experiment. Statistical inference cannot remedy basic design flaws, such as voluntary response samples or uncontrolled experiments.  The sampling distribution must be approximately Normal. This is not true in all instances ( if the population is skewed, you will need a large enough sample size to apply the central limit theorem ).  To use a z procedure for a population mean, we must know  the population standard deviation. This is often an unrealistic requisite. We'll see what can be done when  is unknown in the next chapter. Caution about z procedures for a mean

Mammary artery ligation Angina is the severe pain caused by inadequate blood supply to the heart. Perhaps we can relieve angina by tying off (“ligation”) the mammary arteries to force the body to develop other routes to supply blood to the heart. Patients reported a statistically significant reduction in angina pain. Problem?  This experiment was uncontrolled, so that the reduction in pain might be nothing more than the placebo effect.  A randomized comparative experiment later found that ligation was no more effective than a placebo. Surgeons abandoned the procedure.  Statistical significance says that something other than chance is at work, but it doesn’t say what that something is.