The Observed Significance of a Test
Completion requirements
This section explains what the observed significance of a test is, including how to compute and use it in the p-value approach.
KEY TAKEAWAYS
- The observed significance or \(p\)-value of a test is a measure of how inconsistent the sample result is with \(H_{0}\) and in favor of \(H_{a}\).
- The \(p\)-value approach to hypothesis testing means that one merely compares the \(p\)-value to \(\alpha\) instead of constructing a rejection region.
- There is a systematic five-step procedure for the \(p\)-value approach to hypothesis testing.