In the context of testing of hypothesis, which of the following hypothesis is being tested ?

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MH SET Paper-II: Commerce 7th April 2024
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  1. Alternative hypothesis
  2. Null hypothesis
  3. Alternative and null hypothesis
  4. Descriptive hypothesis

Answer (Detailed Solution Below)

Option 2 : Null hypothesis
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Detailed Solution

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The correct answer is - Null hypothesis

Key Points

  • Null hypothesis refers to the assumption being tested during hypothesis testing.
  • It is typically denoted as H₀ and represents the default or baseline assumption that there is no significant effect or relationship.
  • In hypothesis testing, the goal is to determine whether the data provides sufficient evidence to reject the null hypothesis in favor of the alternative hypothesis.
  • The null hypothesis is important for statistical analysis because:
    • It provides a benchmark for evaluating the evidence.
    • It ensures that findings are not due to random chance.
  • Examples of null hypotheses include statements such as:
    • "There is no difference in the average scores of two groups."
    • "A new drug has no effect compared to a placebo."

Additional Information

  • Alternative hypothesis
    • Denoted as H₁, it represents the assumption being tested against the null hypothesis.
    • This hypothesis states that there is a significant effect or relationship in the data.
    • For example:
      • "The new teaching method improves student performance."
      • "A new drug is more effective than the existing treatment."
  • Descriptive hypothesis
    • Descriptive hypotheses are statements that describe the characteristics or behaviors of a population.
    • They are not typically used in hypothesis testing, but rather in exploratory research.
  • Steps in hypothesis testing
    • Formulate the null and alternative hypotheses.
    • Select an appropriate test statistic.
    • Determine the significance level (α), usually set at 0.05.
    • Compute the test statistic using the sample data.
    • Compare the test statistic to the critical value or p-value.
    • Make a decision:
      • If the test statistic exceeds the critical value or if the p-value is less than α, reject the null hypothesis.
      • Otherwise, fail to reject the null hypothesis.
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