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Effect size
Difference between the observed data and the value specified in the null hypothesis.
Why the decision rule for a t-test is to reject H0 if |t| >_ tc
t captures the effect size in units of standard error.
tc: the value of t that cuts off alpha/2 of the area under the t distribution in each of the 2 tails (assuming H0 is true).
If t > tc: the probability of the observed t occurring by chance under H0 is less than alpha error rate → reject H0.
If t < tc: the probability of the observed t under H0 is more than alpha error rate → retain H0.
Why an interval estimate is better than a point estimate
Point estimate: single best estimate e.g. M.
Interval estimate: point estimate + range of values.
Can specify the degree of confidence (level of alpha) used to find parameter.
E.g. a = 0.05 → 5% chance of making an error (population mean is outside the interval) but 95% chance of being correct.
Assess effect size of paired samples
In a repeated measures design, the appropriate analysis to assess effect size is a confidence interval.
If we reject a null hypothesis, is it false?
No.
5% probability that H0 is actually true.
That is why alpha 0.05 significance level is a Type 1 error rate (false positives).
5% significance level → we will mistakenly reject true null hypotheses 5% of the time.