Chapter 8: Que. 1 (page 392)
Explain the meaning of each term.
a. null hypothesis b. alternative hypothesis
c. test static d. significance level
Short Answer
a). The null hypothesis is a hypothesis to be tested.
b). The alternative hypothesis is a hypothesis which contradicts the null hypothesis.
c). The test statistic is statistic used as a basis for deciding whether the null hypothesis should be rejected.
d). The significance level of the hypothesis test is the probability of making a Type I error, that is, of rejecting a true null hypothesis.