2. HYPOTHESIS DEFINED
• A hypothesis is a proposed explanation or intelligent guess
about a phenomenon, made on a basis of limited evidence,
that can be tested through experimentation or observation.
• It’s typically used as a starting point for scientific research and
is structured to be testable and falsifiable, meaning it can be
supported or disproven through data collection and analysis.
3. TYPES OF HYPOTHESES
There are several types of hypotheses, each serving a different purpose.
Two types are common in statistical testing:
1. Null Hypothesis (H or
₀ HN):The null hypothesis posits that there is
no effect or relationship between the variables being studied. It
suggests that any observed differences or effects are due to chance or
random variation.
• Example: There is no difference in plant growth between those
exposed to more sunlight and those exposed to less sunlight.
4. TYPES OF HYPOTHESES CONT…
2.Alternative Hypothesis (H or H
₁ a): The alternative
hypothesis contradicts the null hypothesis.
• It suggests that there is a significant effect or relationship
between the variables.
• Example: "Plants exposed to more sunlight will grow taller than
those exposed to less sunlight."
5. DIFFERENCES BETWEEN H₀ AND H₁ HYPOTHESES
• The null hypothesis (H ) and alternative hypothesis (H or Ha)
₀ ₁ are
fundamental to statistical testing, and they differ in their purpose
and what they suggest about the relationship between variables.
6. DIFFERENCES BETWEEN H₀ AND H₁ HYPOTHESES
1. Purpose:
• Null Hypothesis (H )
₀ : It assumes that there is no effect, no relationship, or no difference
between the variables being studied.
• It’s the starting point for statistical testing, and the goal is often to test whether there is
enough evidence to reject it.
• Alternative Hypothesis (H or Ha)
₁ : It proposes that there is an effect, a relationship, or
a difference between the variables.
• The alternative hypothesis is what researchers generally hope to support through their
experiment or data analysis.
7. DIFFERENCES BETWEEN H₀ AND H₁ HYPOTHESES
• 2. Nature:
• Null Hypothesis (H )
₀ : It is a statement of no effect or no relationship
(Statement of equality).
• It assumes that any observed effects or differences in data are due to random chance
or sampling error.
• Alternative Hypothesis (H or Ha)
₁ : It is a statement of existence of an effect
or relationship.
• It suggests that there is a true effect or difference (Statement of inequality).
8. DIFFERENCES BETWEEN H₀ AND H₁ HYPOTHESES
3.Testing:
• Null Hypothesis (H )
₀ : It is usually tested first, and you either fail to
reject or reject it based on the data. Rejecting the null hypothesis
means you have enough evidence to support the alternative hypothesis.
• Alternative Hypothesis (H or Ha)
₁ : If the null hypothesis is rejected,
the alternative hypothesis is considered supported by the data. It
represents what the researcher is testing for.
9. DIFFERENCES BETWEEN H₀ AND H₁ HYPOTHESES
4. Statistical Significance:
• Null Hypothesis (H )
₀ : If data shows no statistically significant effect (i.e.,
the p-value is greater than a chosen significance level, like 0.05), you fail to
reject the null hypothesis.
• Alternative Hypothesis (H or Ha)
₁ : If data shows a statistically
significant effect (i.e., the p-value is less than 0.05), you reject the null
hypothesis and accept the alternative hypothesis.
10. DIFFERENCES BETWEEN H₀ AND H₁ HYPOTHESES
5. Direction:
• Null Hypothesis (H )
₀ :The null hypothesis typically suggests no
difference or no change. It doesn’t specify a direction (positive or
negative) of any relationship.
• Alternative Hypothesis (H or Ha)
₁ : The alternative hypothesis can
either be directional (predicting a specific direction of change or effect) or
non-directional (just predicting a difference without specifying direction).
11. DIFFERENCES BETWEEN H₀ AND H₁ HYPOTHESES
• Example:
• Null Hypothesis (H )
₀ : "There is no difference in plant growth
between those exposed to more sunlight and those exposed to less
sunlight."
• Alternative Hypothesis (H )
₁ : "There is a difference in plant growth
between those exposed to more sunlight and those exposed to less
sunlight."
12. STEPSTO FOLLOW IN HYPOTHESES TESTING
• 1. Formulate Hypotheses:
• The null (H ) and alternative (H or Ha) hypotheses should be clearly defined. Ensure
₀ ₁
they are specific, testable, and based on existing theory or prior evidence.
• 2. Decide on the Significance Level ( ):
α
• Choosing α: The significance level (commonly set at 0.05) determines the threshold
for rejecting the null hypothesis. It represents the probability of making a Type I error
(incorrectly rejecting the null hypothesis when it's true).
• Type I Error:The risk of concluding there’s an effect when there is none.The
significance level controls this risk.
13. STEPSTO FOLLOW IN HYPOTHESES TESTING
3. Select the Appropriate StatisticalTest
• The choice of statistical test depends on factors like the type of data, the number of
groups being compared, and the nature of the hypothesis. Common tests include:
• t-test (for comparing means between two groups)
• ANOVA (for comparing means across three or more groups)
• Chi-square test (for categorical data)
• Correlation or regression analysis (for testing relationships between
continuous variables)
14. MEASURES OF CORRELATION
Correlation refers to the relationship between two or more variables.The most commonly
used measures of correlation include:
1. Pearson Correlation Coefficient (r):This is the most widely used measure of linear
correlation. It is suitable for interval or ratio data and assumes that the relationship
between the variables is linear and that the variables are normally distributed.
2. Spearman's Rank Correlation Coefficient ( or rs)
ρ :
This measures the strength and direction of the monotonic relationship between two
variables. It's a non-parametric test and doesn’t require the assumption of normality. It is
especially useful for ordinal data or when the data is not linearly related.
15. MEASURES OF CORRELATION
3. Kendall'sTau ( )
τ :
Like Spearman's, Kendall’s Tau is a non-parametric measure of the strength of association
between two variables, based on the ranks of the data. It’s typically used when data has many
tied ranks. It can give a more reliable measure when the sample size is small.
4. Point-Biserial Correlation: This is used when one variable is continuous (interval or
ratio) and the other is binary (dichotomous), such as when comparing the average scores of
two groups.
5. Phi Coefficient: This is used when both variables are binary (dichotomous), measuring
the degree of association between two binary variables.
16. MEASURES OF CORRELATION
Interpretation:
• Correlation ranges from -1 to +1:
• +1 indicates a perfect positive linear relationship.
• -1 indicates a perfect negative linear relationship.
• 0 indicates no linear relationship.
• Above 0 but less than +-0.5 indicates a weak positive/negative relationship.
• Above or equal to +-0.5 but less than +- 1 indicates Strong relationship.
17. STEPSTO FOLLOW IN HYPOTHESESTESTING
• 4. Collect and Analyze Data
• Gather data from your sample. Make sure your sample is representative of
the population to ensure the results are valid.
• Perform the chosen statistical test using software like SPSS, R, Python,
Excel, etc., to calculate the test statistic (e.g., t-value, F-statistic) and the
corresponding p-value.
18. STEPSTO FOLLOW IN HYPOTHESES TESTING
5. Compute theTest Statistic and P-value
• The test statistic is a value calculated from your sample data that helps
you decide whether to reject the null hypothesis.
• The p-value is the probability of obtaining a test statistic at least as
extreme as the one observed, assuming the null hypothesis is true.
19. STEPSTO FOLLOW IN HYPOTHESESTESTING
6. Compare the P-value with the Significance Level ( )
α
• If the p-value is less than or equal to the significance level ( )
α i.e. 0.05, reject
the null hypothesis (H ).
₀ This means there is enough evidence to support the
alternative hypothesis.
• If the p-value is greater than , i.e. 0.05, fail to reject the null hypothesis
α .This
means there is insufficient evidence to support the alternative hypothesis.
20. STEPSTO FOLLOW IN HYPOTHESESTESTING
7. Draw a Conclusion
• Based on the comparison of the p-value and :
α
• If you reject H , you conclude that there is significant evidence to
₀
support the alternative hypothesis.
• If you fail to reject H , you conclude that there is not enough evidence
₀
to support the alternative hypothesis, and the null hypothesis stands.
21. STEPSTO FOLLOW IN HYPOTHESES TESTING
Example:
1. If the p-value is 0.03 and = 0.05, reject H and conclude that there is a
α ₀
significant difference in plant growth based on sunlight exposure.
2. If the p-value is 0.08 and = 0.05, fail to reject H and conclude that
α ₀
there is no significant difference.
22. STEPSTO FOLLOW IN HYPOTHESES TESTING
8. Report the Results
• Clearly report the findings, including the test statistic, p-value, confidence
intervals (if relevant), and your conclusion.
• Also, mention any limitations or considerations, such as sample size,
assumptions of the test, or external factors that could influence the results.
• It’s important to evaluate the practical significance or effect size of the
results. Statistical significance does not always imply that the difference or
relationship has real-world importance.
23. GROUP ASSIGNMENT 2
1. Using data by Abebe, test the following hypotheses, and write the report:
H₀: There is no association between household income and age of respondents in years.
H :
₀ There is no relationship between years with current employer and job satisfaction.
2. Using data by Bekele test the following hypotheses, and write the report:
H :
₀ There is no correlation between marital status and level of education of
respondents.
H :
₀ There is no association between number of people in the household and price of
primary vehicle.