1. Chap 10-1 statisticsbe@163.com Password: shnu2010

2. Chap 10-2 Chapter 9 Hypothesis Testing Statistics for Business and Economics

3. Chap 10-3 What is a Hypothesis? （假设） A hypothesis is a claim (assumption) about a population parameter: population mean population proportion Example: The mean monthly cell phone bill of this city is μ = $42 Example: The proportion of adults in this city with cell phones is p =.68

4. Chap 10-4

5. Chap 10-5 The Null Hypothesis, H 0 （零假设 原假设） States the assumption (numerical) to be tested Example: The average number of TV sets in U.S. Homes is equal to three ( ) Is always about a population parameter, not about a sample statistic

6. Chap 10-6 The Null Hypothesis, H 0 Begin with the assumption that the null hypothesis is true Similar to the notion of innocent until proven guilty Refers to the status quo Always contains “=”, “≤” or “  ” sign May or may not be rejected (continued)

7. Chap 10-7

8. Chap 10-8 The Alternative Hypothesis, H 1 （备择假设） Is the opposite of the null hypothesis e.g., The average number of TV sets in U.S. homes is not equal to 3 ( H 1 : μ ≠ 3 ) Challenges the status quo Never contains the “=”, “≤” or “  ” sign May or may not be supported Is generally the hypothesis that the researcher is trying to support

9. Population Claim: the population mean age is 50. (Null Hypothesis: REJECT Suppose the sample mean age is 20: X = 20 Sample Null Hypothesis 20 likely if μ = 50?  Is Hypothesis Testing Process If not likely, Now select a random sample H 0 : μ = 50 ) X

10. Chap 10-10 Sampling Distribution of X μ = 50 If H 0 is true If it is unlikely that we would get a sample mean of this value...... then we reject the null hypothesis that μ = 50. Reason for Rejecting H 0 20... if in fact this were the population mean… X

11. Chap 10-11 Level of Significance,  显著水平 Defines the unlikely values of the sample statistic if the null hypothesis is true Defines rejection region of the sampling distribution Is designated by , (level of significance) Typical values are.01,.05, or.10 Is selected by the researcher at the beginning Provides the critical value(s) of the test

12. Chap 10-12 Level of Significance and the Rejection Region H 0 : μ ≥ 3 H 1 : μ < 3 0 H 0 : μ ≤ 3 H 1 : μ > 3   Represents critical value Lower-tail test Level of significance =  0 Upper-tail test Two-tail test Rejection region is shaded /2 0   H 0 : μ = 3 H 1 : μ ≠ 3

13. Chap 10-13 Errors in Making Decisions Type I Error （第一类错误 ---- “ 弃真 ” ） Reject a true null hypothesis Considered a serious type of error The probability of Type I Error is  Called level of significance of the test Set by researcher in advance

14. Chap 10-14 Errors in Making Decisions Type II Error （第二类错误 ---- “ 取伪 ” ） Fail to reject a false null hypothesis The probability of Type II Error is β (continued)

15. Chap 10-15

16. Chap 10-16 Outcomes and Probabilities Actual Situation Decision Do Not Reject H 0 No error (1 - )  Type II Error ( β ) Reject H 0 Type I Error ( )  Possible Hypothesis Test Outcomes H 0 False H 0 True Key: Outcome (Probability) No Error ( 1 - β ) 统计学家建议我们采用 “ 不能拒绝原假设 ” 而不采用 “ 接受原假设 ” 这种说法

17. Chap 10-17 Reject H 0 : μ  52 Do not reject H 0 : μ  52 Type II Error Example Type II error is the probability of failing to reject a false H 0 5250 Suppose we fail to reject H 0 : μ  52 when in fact the true mean is μ* = 50 

18. Chap 10-18 Reject H 0 : μ  52 Do not reject H 0 : μ  52 Type II Error Example Suppose we do not reject H 0 : μ  52 when in fact the true mean is μ* = 50 5250 This is the true distribution of x if μ = 50 This is the range of x where H 0 is not rejected (continued)

19. Chap 10-19 Reject H 0 : μ  52 Do not reject H 0 : μ  52 Type II Error Example Suppose we do not reject H 0 : μ  52 when in fact the true mean is μ* = 50  5250 β Here, β = P( x  ) if μ* = 50 (continued)

20. Chap 10-20

21. Chap 10-21 原假设表述的原则 适当地表述原假设，使得所对应的第一类错误是 两种错误状态中损失较大或后果较为严重的那种。 你想证明的问题设为备择假设 研究中的假设一般设为备择假设。如果原假设被拒绝， 则研究中的假设为真。 生产商的声明一般被怀疑，将其设为原假设。如果原 假设被拒绝，则该声明不正确。

22. Chap 10-22 Hypothesis Tests for the Mean  Known  Unknown Hypothesis Tests for 

23. Chap 10-23

24. Chap 10-24

25. Chap 10-25

26. Chap 10-26

27. Chap 10-27 Test of Hypothesis for the Mean (σ Known) Convert sample result ( ) to a z value The decision rule is: 大样本小样本 Hypothesis Tests for  Consider the test (Assume the population is normal)

28. Chap 10-28 Reject H 0 Do not reject H 0 Decision Rule  zαzα 0 μ0μ0 H 0 : μ = μ 0 H 1 : μ > μ 0 Critical value Z Alternate rule:

29. Chap 10-29 p-Value Approach to Testing p-value: Probability of obtaining a test statistic more extreme ( ≤ or  ) than the observed sample value given H 0 is true Also called observed level of significance Smallest value of  for which H 0 can be rejected

30. Chap 10-30 p-Value Approach to Testing Convert sample result (e.g., ) to test statistic (e.g., z statistic ) Obtain the p-value For an upper tail test: Decision rule: compare the p-value to  If p-value < , reject H 0 If p-value  , do not reject H 0 (continued)

31. Chap 10-31 Example: Upper-Tail Z Test for Mean (  Known) A phone industry manager thinks that customer monthly cell phone bill have increased, and now average over $52 per month. The company wishes to test this claim. (Assume  = 10 is known) H 0 : μ ≤ 52 the average is not over $52 per month H 1 : μ > 52 the average is greater than $52 per month (i.e., sufficient evidence exists to support the manager’s claim) Form hypothesis test:

32. Chap 10-32 Reject H 0 Do not reject H 0 Suppose that  =.10 is chosen for this test Find the rejection region:  =.10 1.28 0 Reject H 0 Example: Find Rejection Region (continued)

33. Chap 10-33 Obtain sample and compute the test statistic Suppose a sample is taken with the following results: n = 64, x = 53.1 (  =10 was assumed known) Using the sample results, Example: Sample Results (continued)

34. Chap 10-34 Reject H 0 Do not reject H 0 Example: Decision  =.10 1.28 0 Reject H 0 Do not reject H 0 since z = 0.88 < 1.28 i.e.: there is not sufficient evidence that the mean bill is over $52 z = 0.88 Reach a decision and interpret the result: (continued)

35. Chap 10-35 Reject H 0  =.10 Do not reject H 0 1.28 0 Reject H 0 Z =.88 Calculate the p-value and compare to  (assuming that μ = 52.0) (continued) p-value =.1894 Example: p-Value Solution Do not reject H 0 since p-value =.1894 >  =.10

36. Chap 10-36 One-Tail Tests In many cases, the alternative hypothesis focuses on one particular direction H 0 : μ ≥ 3 H 1 : μ < 3 H 0 : μ ≤ 3 H 1 : μ > 3 This is a lower-tail test since the alternative hypothesis is focused on the lower tail below the mean of 3 This is an upper-tail test since the alternative hypothesis is focused on the upper tail above the mean of 3

37. Chap 10-37 Reject H 0 Do not reject H 0 Upper-Tail Tests  zαzα 0 μ H 0 : μ ≤ 3 H 1 : μ > 3 There is only one critical value, since the rejection area is in only one tail Critical value Z

38. Chap 10-38 Reject H 0 Do not reject H 0 There is only one critical value, since the rejection area is in only one tail Lower-Tail Tests  -z  0 μ H 0 : μ ≥ 3 H 1 : μ < 3 Z Critical value

39. Chap 10-39 Do not reject H 0 Reject H 0 There are two critical values, defining the two regions of rejection Two-Tail Tests  /2 0 H 0 : μ = 3 H 1 : μ  3  /2 Lower critical value Upper critical value 3 z x -z  /2 +z  /2 In some settings, the alternative hypothesis does not specify a unique direction

40. Chap 10-40

41. Chap 10-41

42. Chap 10-42

43. Chap 10-43

44. Chap 10-44 Hypothesis Testing Example Test the claim that the true mean # of TV sets in US homes is equal to 3. (Assume σ = 0.8) State the appropriate null and alternative hypotheses H 0 : μ = 3, H 1 : μ ≠ 3 (This is a two tailed test) Specify the desired level of significance Suppose that  =.05 is chosen for this test Choose a sample size Suppose a sample of size n = 100 is selected

45. Chap 10-45 Hypothesis Testing Example Determine the appropriate technique σ is known so this is a z test Set up the critical values For  =.05 the critical z values are ±1.96 Collect the data and compute the test statistic Suppose the sample results are n = 100, x = 2.84 (σ = 0.8 is assumed known) So the test statistic is: (continued)

46. Chap 10-46 Reject H 0 Do not reject H 0 Is the test statistic in the rejection region?  =.05/2 -z = -1.96 0 Reject H 0 if z 1.96; otherwise do not reject H 0 Hypothesis Testing Example (continued)  =.05/2 Reject H 0 +z = +1.96 Here, z = -2.0 < -1.96, so the test statistic is in the rejection region

47. Chap 10-47 Reach a decision and interpret the result -2.0 Since z = -2.0 < -1.96, we reject the null hypothesis and conclude that there is sufficient evidence that the mean number of TVs in US homes is not equal to 3 Hypothesis Testing Example (continued) Reject H 0 Do not reject H 0  =.05/2 -z = -1.96 0  =.05/2 Reject H 0 +z = +1.96

48. Chap 10-48.0228  /2 =.025 Example: p-Value Example: How likely is it to see a sample mean of 2.84 (or something further from the mean, in either direction) if the true mean is  = 3.0? -1.960 -2.0 Z1.96 2.0 x = 2.84 is translated to a z score of z = -2.0 p-value =.0228 +.0228 =.0456.0228  /2 =.025

49. Chap 10-49 Compare the p-value with  If p-value < , reject H 0 If p-value  , do not reject H 0 Here: p-value =.0456  =.05 Since.0456 <.05, we reject the null hypothesis (continued) Example: p-Value.0228  /2 =.025 -1.960 -2.0 Z1.96 2.0.0228  /2 =.025

50. Chap 10-50 Test of Hypothesis for the Mean (σ Known) Convert sample result ( ) to a z value The decision rule is: 大样本小样本 Hypothesis Tests for  Consider the test (Assume the population is normal)

51. Chap 10-51 Test of Hypothesis for the Mean (σ UnKnown) Convert sample result ( ) to a z value The decision rule is: 大样本小样本 Hypothesis Tests for  Consider the test (Assume the population is normal)

52. Chap 10-52 t Test of Hypothesis for the Mean (σ known) Convert sample result ( ) to a t test statistic 大样本小样本 - 正态分布 - σ known Hypothesis Tests for  The decision rule is: Consider the test (Assume the population is normal)

53. Chap 10-53 t Test of Hypothesis for the Mean (σ Unknown) Convert sample result ( ) to a t test statistic 大样本小样本 - 正态分布 - σ Unknown Hypothesis Tests for  The decision rule is: Consider the test (Assume the population is normal)

54. Chap 10-54 t Test of Hypothesis for the Mean (σ Unknown) For a two-tailed test: The decision rule is: Consider the test (Assume the population is normal, and the population variance is unknown) (continued)

55. Chap 10-55 Example: Two-Tail Test (  Unknown) The average cost of a hotel room in New York is said to be $168 per night. A random sample of 25 hotels resulted in x = $172.50 and s = $15.40. Test at the  = 0.05 level. (Assume the population distribution is normal) H 0 : μ  = 168 H 1 : μ  168

56. Chap 10-56  = 0.05 n = 25  is unknown, so use a t statistic Critical Value: t 24,.025 = ± 2.0639 Example Solution: Two-Tail Test Do not reject H 0 : not sufficient evidence that true mean cost is different than $168 Reject H 0  /2=.025 -t n-1,α/2 Do not reject H 0 0  /2=.025 -2.0639 2.0639 1.46 H 0 : μ  = 168 H 1 : μ  168 t n-1,α/2

57. Chap 10-57

58. Chap 10-58 Tests of the Population Proportion Involves categorical variables Two possible outcomes “Success” (a certain characteristic is present) “Failure” (the characteristic is not present) Fraction or proportion of the population in the “success” category is denoted by P Assume sample size is large

59. Chap 10-59 Proportions Sample proportion in the success category is denoted by When nP ≥ 5 且 n(1 – P) ≥5, can be approximated by a normal distribution with mean and standard deviation (continued)

60. Chap 10-60 The sampling distribution of is approximately normal, so the test statistic is a z value: Hypothesis Tests for Proportions nP ≥ 5 且 n(1 – P) ≥5 Hypothesis Tests for P Not discussed in this chapter nP ≤ 5 或 n(1 – P) ≤ 5

61. Chap 10-61 Example: Z Test for Proportion A marketing company claims that it receives 8% responses from its mailing. To test this claim, a random sample of 500 were surveyed with 25 responses. Test at the  =.05 significance level. Check: Our approximation for P is = 25/500 =.05 nP(1 - P) = (500)(.05)(.95) = 23.75 > 9

62. Chap 10-62 Z Test for Proportion: Solution  =.05 n = 500, =.05 Reject H 0 at  =.05 H 0 : P =.08 H 1 : P .08 Critical Values: ± 1.96 Test Statistic: Decision: Conclusion: z 0 Reject.025 1.96 -2.47 There is sufficient evidence to reject the company’s claim of 8% response rate. -1.96

63. Chap 10-63 Do not reject H 0 Reject H 0  /2 =.025 1.96 0 Z = -2.47 Calculate the p-value and compare to  (For a two sided test the p-value is always two sided) (continued) p-value =.0136: p-Value Solution Reject H 0 since p-value =.0136 <  =.05 Z = 2.47 -1.96  /2 =.025.0068

64. Chap 10-64

65. Chap 10-65

66. Chap 10-66 Recall the possible hypothesis test outcomes: Actual Situation Decision Do Not Reject H 0 No error (1 - )  Type II Error ( β ) Reject H 0 Type I Error ( )  H 0 False H 0 True Key: Outcome (Probability) No Error ( 1 - β ) β denotes the probability of Type II Error 1 – β is defined as the power of the test Power = 1 – β = the probability that a false null hypothesis is rejected Power of the Test （功效）

67. Chap 10-67 Type II Error or The decision rule is: Assume the population is normal and the population variance is known. Consider the test If the null hypothesis is false and the true mean is μ*, then the probability of type II error is

68. Chap 10-68 Reject H 0 : μ  52 Do not reject H 0 : μ  52 Type II Error Example Type II error is the probability of failing to reject a false H 0 5250 Suppose we fail to reject H 0 : μ  52 when in fact the true mean is μ* = 50 

69. Chap 10-69 Reject H 0 : μ  52 Do not reject H 0 : μ  52 Type II Error Example Suppose we do not reject H 0 : μ  52 when in fact the true mean is μ* = 50 5250 This is the true distribution of x if μ = 50 This is the range of x where H 0 is not rejected (continued)

70. Chap 10-70 Reject H 0 : μ  52 Do not reject H 0 : μ  52 Type II Error Example Suppose we do not reject H 0 : μ  52 when in fact the true mean is μ* = 50  5250 β Here, β = P( x  ) if μ* = 50 (continued)

71. Chap 10-71 Reject H 0 : μ  52 Do not reject H 0 : μ  52 Suppose n = 64, σ = 6, and  =.05  5250 So β = P( x  50.766 ) if μ* = 50 Calculating β (for H 0 : μ  52) 50.766

72. Chap 10-72 Reject H 0 : μ  52 Do not reject H 0 : μ  52 Suppose n = 64, σ = 6, and  =.05  5250 Calculating β (continued) Probability of type II error: β =.1539

73. Chap 10-73 If the true mean is μ* = 50, The probability of Type II Error = β = 0.1539 The power of the test = 1 – β = 1 – 0.1539 = 0.8461 Power of the Test Example Actual Situation Decision Do Not Reject H 0 No error 1 -  = 0.95 Type II Error β = 0.1539 Reject H 0 Type I Error  = 0.05 H 0 False H 0 True Key: Outcome (Probability) No Error 1 - β = 0.8461 (The value of β and the power will be different for each μ*) 功效

74. Chap 10-74

75. Chap 10-75 样本容量的确定

76. Chap 10-76

77. Chap 10-77

78. a.The Type I error is rejecting H 0 when it is true. In this case, this error occurs if the researcher concludes that the mean newspaper-reading time for individuals in management positions is greater than the national average of 8.6 minutes when in fact it is not. b.The Type II error is accepting H 0 when it is false. In this case, this error occurs if the researcher concludes that the mean newspaper-reading time for individuals in management positions is less than or equal to the national average of 8.6 minutes when in fact it is greater than 8.6 minutes. Chap 10-78

79. Chap 10-79

80. Chap 10-80

81. Chap 10-81

82. （已知： z.025 =1.96 ， z.15 =1.04 ， z.02 =2.05 ， z.20 =0.84 ） At m 0 = 25,a =.02.z.02 = 2.05 At m a = 24,b =.20.z.20 =.84  = 3 Use 76 Chap 10-82

83. Chap 10-83 Chapter Summary Addressed hypothesis testing methodology Performed Z Test for the mean (σ known) Discussed critical value and p-value approaches to hypothesis testing Performed one-tail and two-tail tests Performed t test for the mean (σ unknown) Performed Z test for the proportion