Suppose that you are running a hypothesis test and determine that the p-value is 0.03. If the level of significance were 0.01, we would reject the null hypotheses. If the level of significance were 0.05, we would fail to reject the null hypothesis. Thus, the level of significance we choose has a big impact on the conclusions we draw about the claim. What if we choose wrong? What might be the consequences? What factors should be weighed in deciding the level of significance to choose? Why?

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02-10-2022
Mathematics

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Suppose that you are running a hypothesis test and determine that the p-value is 0.03. If the level of significance were 0.01, we would reject the null hypotheses. If the level of significance were 0.05, we would fail to reject the null hypothesis. Thus, the level of significance we choose has a big impact on the conclusions we draw about the claim. What if we choose wrong? What might be the consequences? What factors should be weighed in deciding the level of significance to choose? Why?

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