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Lesson 9.1 - Statistical Tests: The Basics What is the difference between a confidence interval and a significance test? I’m a Great Free-Throw Shooter! A basketball player claims to make 80% of the free throws that he attempts. We think he might be exaggerating. To test this claim, we’ll ask him to shoot some free throws—virtually—using The Reasoning of a Statistical Test applet. 1. Launch the applet. 2. Set the applet to take 25 shots. Click “Shoot.” Record how many of the 25 shots the player makes: ___________ 3. Click “Shoot” again for 25 more shots. Repeat until you are convinced either that the player makes less than 80% of his shots or that the player’s claim is true. 4. Click “Show true probability.” Were you correct? What are the only two explanations for why we get a different statistic than what is claimed about the true parameter? Stating Hypotheses: A significance test starts with a careful statement of the claims we want to compare. What are the hypotheses that we will compare? In the free-throw shooter example, our hypotheses are In any significance test, the null hypothesis has the form The alternative hypothesis has one of the forms Ha : parameter ____ value Ha : parameter ____ value Ha : parameter ____ value How do you determine the correct form of the alternative hypothesis? Stating Hypotheses Cautions! Example: A better golf club? Mike is an avid golfer who would like to improve his play. A friend suggests getting new clubs and lets Mike try out his 7-iron. Based on years of experience, Mike has established that the mean distance that balls travel when hit with his old 7-iron is 𝜇 = 175 yards with a standard deviation of 𝜎 = 15 yards. He is hoping that this new club will make his shots with a 7-iron more consistent (less variable), so he goes to the driving range and hits 50 shots with the new 7-iron. State appropriate hypotheses for performing a significance test. Be sure to define the parameter of interest. The Reasoning of Significance Tests Suppose a basketball player claimed to be an 80% free-throw shooter. To test this claim, we have him attempt 50 free-throws. He makes 32 of them. His sample proportion of made shots is 𝑝̂ = 32/50 = _________. What are the null and alternative hypotheses? You can say how strong the evidence AGAINST the player’s claim is by giving the probability that he would make as few as 32 out of 50 free throws if he really makes 80% of his shots in the long run. Based on the simulation, our estimate of this probability is ____________________________. There are two possible explanations for the fact that he made only 64% of his free throws: What is a 𝑷-Value and how do you interpret it?? Example: A better golf club? When Mike was testing a new 7-iron, the hypotheses were 𝐻0 : 𝜎 = 15 𝐻𝑎 : 𝜎 < 15 where 𝜎 = the true standard deviation of the distances Mike hits golf balls using the new 7-iron. Based on 50 shots with the new 7-iron, the standard deviation was s x = 13.9 yards. After checking that the conditions were met, Mike performed a significance test and obtained a 𝑃-value of 0.25. (a) Explain what it would mean for the null hypothesis to be true in this setting. (b) Interpret the 𝑃-value in this context. Statistical Significance: The final step in performing a significance test is to draw a conclusion about the competing claims you were testing. We make one of two decistions based on the strength of the evidence (P-value): Example: A better golf club? In the 7-iron example, the estimated 𝑃-value was 0.25. Do we have convincing evidence that Mike is more consistent when using the new 7-iron? Example: Tasty chips For his second semester project in AP Statistics, James decided to investigate whether students at his school prefer name-brand potato chips to generic potato chips. He randomly selected 50 students and had each student try both types of chips, in random order. Overall, 32 of the 50 (𝑝̂ = 0.64) students preferred the name-brand chips. James performed a significance test using the hypotheses 𝐻0 : 𝑝 = 0.5 𝐻𝑎 : 𝑝 > 0.5 where 𝑝 = the true proportion of students at his school who prefer name-brand chips. The resulting 𝑃-value was 0.0239. What conclusion would you make at each of the following significance levels? (a) 𝛼 = 0.05 (b) 𝛼 = 0.01 Type I and Type II Errors: When we draw a conclusion from a significance test, we hope our conclusion will be correct. But sometimes it will be wrong. There are two types of mistakes we can make. Truth about the population Conclusion based on sample Example: Faster fast food? The manager of a fast-food restaurant wants to reduce the proportion of drive-through customers who have to wait longer than two minutes to receive their food after their order is placed. Based on store records, the proportion of customers who had to wait longer than two minutes was p = 0.63. To reduce this proportion, the manager assigns an additional employee to assist with drive-through orders. During the next month, the manager will collect a random sample of drive-through times and test the following hypotheses: 𝐻0 : 𝑝 = 0.63 𝐻𝑎 : 𝑝 < 0.63 where p = the true proportion of drive-through customers who have to wait longer than two minutes to receive their food. Describe a Type I and a Type II error in this setting and explain the consequences of each. Significance and Type I Error Example: Faster fast food? In the fast-food Example, we were testing the following hypotheses: 𝐻0 : 𝑝 = 0.63 𝐻𝑎 : 𝑝 < 0.63 where p = the true proportion of drive-through customers who have to wait longer than two minutes after their order is placed to receive their food. Suppose that the manager decided to carry out this test using a random sample of 250 orders and a significance level of = 0.10. What is the probability of making a Type I error?