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Test of Hypothesis
Univariate Statistics
• Test of statistical significance
• Hypothesis testing one variable at a time
Hypothesis
• Unproven proposition
• Supposition that tentatively explains certain
facts or phenomena
• Assumption about nature of the world
Hypothesis
• An unproven proposition or supposition that
tentatively explains certain facts or
phenomena
– Null hypothesis
– Alternative hypothesis
Null Hypothesis
• Statement about the status quo
• No difference
Alternative Hypothesis
• Statement that indicates the opposite of the
null hypothesis
Significance Level
• Critical probability in choosing between the
null hypothesis and the alternative
hypothesis
Significance Level
• Critical Probability
• Confidence Level
• Alpha
• Probability Level selected is typically .05 or
.01
• Too low to warrant support for the null
hypothesis
0.3: oH
The null hypothesis that the mean is
equal to 3.0:
0.3:1 H
The alternative hypothesis that the
mean does not equal to 3.0:
A Sampling Distribution
3.0 x
3.0
x
a.025 a.025
A Sampling Distribution
LOWER
LIMIT
UPPER
LIMIT
3.0
A Sampling Distribution
Critical values of 
Critical value - upper limit
n
S
ZZSX
 or 







225
5.1
96.10.3
 1.096.10.3 
196.0.3 
196.3
Critical values of 
Critical value - lower limit
n
S
ZZSX
-or- 







225
5.1
96.1-0.3
Critical values of 
 1.096.10.3 
196.0.3 
804.2
Critical values of 
Region of Rejection
LOWER
LIMIT
UPPER
LIMIT
3.0
Hypothesis Test  3.0
2.804 3.1963.0 3.78
Accept null Reject null
Null is true
Null is false
Correct-
no error
Type I
error
Type II
error
Correct-
no error
Type I and Type II Errors
Type I and Type II Errors
in Hypothesis Testing
State of Null Hypothesis Decision
in the Population Accept Ho Reject Ho
Ho is true Correct--no error Type I error
Ho is false Type II error Correct--no error
Choosing the Appropriate
Statistical Technique
• Type of question to be answered
• Number of variables
– Univariate
– Bivariate
– Multivariate
• Scale of measurement
PARAMETRIC
STATISTICS
NONPARAMETRIC
STATISTICS
t-Distribution
• Symmetrical, bell-shaped distribution
• Mean of zero and a unit standard deviation
• Shape influenced by degrees of freedom
Degrees of Freedom
• Abbreviated d.f.
• Number of observations
• Number of constraints
The researcher desired a 95 percent
confidence, and the significance level becomes
.05.The researcher must then find the upper
and lower limits of the confidence interval to
determine the region of rejection. Thus, the
value of t is needed. For 24 degrees of
freedom (n-1, 25-1), the t-value is 2.064.
Univariate Hypothesis Test
Utilizing the t-Distribution

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Testing Statistical Hypotheses with Univariate Statistics