BNAD 276 Lecture Notes - Lecture 13: Null Hypothesis, Standard Deviation, Statistical Hypothesis Testing

• School: University of Arizona
• Department: Business Administration
• Course: BNAD 276
• Professor: Suzanne Delaney

Document Summary

Finding a statistically significant correlation - the result is statistically significant if: the observed correlation is larger than the critical correlation. We want our r to be big if we want it to be significantly different from zero (either negative or positive but just far away from zero): the p value is less than 0. 05. We want our p to be small: we reject the null hypothesis, then we have support for our alternative hypothesis. Five steps to hypothesis testing: identify the research problem. Degrees of freedom = n - 2 = number of pairs - 2: calculations, make decision whether or not to reject the null. If observed r is bigger than critical r then reject the null: conclusion - tie findings back in to research problem. Correlation: independent and dependent variables: when used for prediction we refer to the predicted variable as the dependent (y) variable and the predictor variable as the independent (x) variable.