What is the variance of p

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Reference no: EM131430576

In the sampling version of permutation testing, the one-sided P-value is Pˆ = (X + 1)/(N + 1), where X is the number of permutation test statistics that are as large or larger than the observed test statistic. Suppose the true P-value (for the exhaustive test, conditional on the observed data) is p.

(a) What is the variance of Pˆ?

(b) What is the variance of Pˆ2 for the two-sided test (assuming that p is not close to 0.5, where p is the true one-sided P-value?)

Reference no: EM131430576

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