(7) Hypothesis testing
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5 Terms
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Ho
Null hypothesis, one we assume to be correct
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H1
Alternative hypothesis, tells us about the parameter if our assumption is wrong
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Critical region
Region of probability distribution which, if test statistic falls within, would cause us to reject Ho
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Critical value
First value to fall inside of the critical region
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Actual significance level
Probability of incorrectly rejecting Ho
Note 
Flashcards (63)