Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
TYPE I AND II Errors
If a statistical hypothesis is tested, we may get the following four possible cases:
The null hypothesis is true and it is accepted;
The null hypothesis is false and it is rejected;
The null hypothesis is true, but it is rejected;
The null hypothesis is false, but it is accepted.
Clearly, the last two cases lead to errors which are called errors of sampling. The error made in (c) is called Type I Error. The error committed in (d) is called Type II Error. In either case a wrong decision is taken.
P(Committing a Type I Error)
= P (The Null Hypothesis is true but is rejected)\ = P (The Null Hypothesis is true but sample statistic falls in the rejection region) = α, the level of significance
= P (The Null Hypothesis is true but is rejected)\
= P (The Null Hypothesis is true but sample statistic falls in the rejection region)
= α, the level of significance
P(Committing a Type II Error)
= P (The Null Hypothesis is false but sample statistic falls in the acceptance region) = β (say)
= P (The Null Hypothesis is false but sample statistic falls in the acceptance region)
= β (say)
The level of significance, α , is known. This was fixed before testing started. β is known only if the true value of the parameter is known. Of course, if it is known, there was no point in testing for the parameter.
Grid is the set of pairs {1, 2, 3, 4} x {1, 2, 3, 4}. Image is the power set of Grid. An element of Image is a subset of Grid and can be represented by a diagram on a 4 by 4
Disadvantages The value of mode cannot always be determined. In some cases we may have a bimodal series. It is not capable of algebraic manipulations. For example, from t
Regression Coefficient While analysing regression in two related series, we calculate their regression coefficients also. There are two regression coefficients like two regress
Question Following the general methodology used by econometricians as explained in the session for week 1 (eight steps), explain how you would proceed to determine if a good com
The interest rate on the three year loan is 0.087. Whereas the interest rate on the two year loan is 0.085 as given in A. Suppose that the liquidity premium at t=1 is 0.002 and tha
merits and demerits of methods to determin trends
In reduced rank regression (RRR), the dependent variables are first submitted to a PCA and the scores of the units are then used as dependent variables in a series of
Your company has developed a new product .Your company is a reputed company with 50% market share of same range of products. Your competitors also come with their new products equa
What is a null hypothesis? ..
The following data give the repair costs (in RM) for 30 randomly selected cars from a list of cars involved in collisions. a) By using RM 1 as the lower limit of the first
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +91-977-207-8620
Phone: +91-977-207-8620
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd