Interpreting P-values

tags: #hypothesis_testing

What are alpha values?

The alpha significance level (α) refers to the maximum allowable probability of making a Type I Error.

When interpreting p-values against the the alpha (e.g., 0.05), we are essentially saying that, our conclusion only leads to a false positive 5% of the time when the truth is that there is no effect.

How do we interpret p-values?

P-values are the probability of observing a sample statistic that is at least as extreme as your sample statistic when you assume that the null hypothesis is true (i.e., the fraction of times you would observe a value as extreme as your statistic under the null).

Interpreting P-values

P-values are used as is a measure of statistical significance (says nothing about the magnitude of the effect if there is an effect to be found. This is simply a question of whether a relationship appears to exist statistically or not.

If pα, then we REJECT the null hypothesis

  • This means that the probability of observing the value if the null were true is low
  • Relationship between variables does exist (i.e., not independent of each other)
  • Observed relationship is not due to chance due to e.g., sampling error

If p>α, then we FAIL TO REJECT the null hypothesis

  • the probability of observing the value if the null were true is high
  • variables are independent of each other
  • insufficient evidence to suggest that the observed relationship is NOT due to chance

Misconceptions about rejecting the null hypothesis

Misconception: Reject Null & ACCEPT Alternative

A hypothesis test is a test to reject or not reject the null.

NOT whether not reject the null OR to reject the null AND accept the alternative.

i.e., when we reject a null hypothesis (such that the effect is unlikely to have occurred by chance/under if the null was true), this DOES NOT MEAN that the alternative is True.

HYPOTHESIS TESTING DOES NOT PROVE ANYTHING!!

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