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Chapter 3: Reviewing Confidence Intervals and Hypothesis Tests
                                  Ho is the model that’s on trial. If you get enough evidence against it, you   45
                                  conclude Ha, which is the model you’re claiming is the right one. If you don’t
                                  get enough evidence against Ho, then you can’t say that your model (Ha) is
                                  the right one.


                                  Gathering your evidence
                                  into a test statistic


                                  A test statistic is the statistic from your sample, standardized so you can look
                                  it up on a table, basically. Although each hypothesis test is a little different,
                                  the main thought is the same. Take your statistic and standardize it in the
                                  appropriate way so you can use the corresponding table for it. Then look
                                  up your test statistic on a table to see where it stands. That table may be
                                  the t-table (Table A-1 in the appendix), the Chi-square table (Table A-3 in the
                                  appendix), or a different table. The type of test you need to use on your data
                                  dictates which table you use.
                                  In the case of testing a hypothesis for a population mean, µ, you use the
                                  sample mean,  , as your statistic. To standardize it, you take   and convert
                                  it to a value of t by using the formula   , where µ  is the value in Ho.
                                                                                    0
                                  This value is your test statistic, which you compare to the t-distribution.



                                  Determining strength of evidence
                                  with a p-value


                                  If you want to know whether your data has the brawn to stand up against Ho,
                                  you need to figure out the p-value and compare it to a predetermined cutoff,
                                  α (typically 0.05). The p-value is a measure of the strength of your evidence
                                  against Ho. You calculate the p-value through these steps:

                                    1. Calculate the test statistic (refer to the preceding section for more info
                                      on this).
                                    2. Look up the test statistic on the appropriate table (such as the t-table,
                                      Table A-1 in the appendix).

                                    3. Find the percentage of values on the table that fall beyond your test
                                      statistic. This percentage is the p-value.













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           07_466469-ch03.indd   45                                                                    7/23/09   9:23:26 PM
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