Confidence Levels and Tests of Significance: False Statement

False Statement on Confidence Levels and Tests of Significance

Prev Question Next Question

Question

Which of the following answers is false in reference to confidence levels and/or tests of significance? Choose the best answer.

Answers

A. All else equal, the confidence interval for a test with a 5% significance level is larger than the confidence interval for a test with a 1% significance level.

B. The Greek letter alpha is used to denote the probability of a Type I error.

C. The significance level used in hypothesis testing is typically 0.10, 0.05, or 0.01.

D. In most hypothesis testing, the power of a test is equal to (1 - the significance level).

E. The confidence level can be found by (1 - alpha).

F. More than one of these answers is false.

Show Answer

Explanations

Click on the arrows to vote for the correct answer

A. B. C. D. E. F.

The confidence interval for a test with a 5% level of significance is smaller than the confidence interval for a 1% significance level. Remember that the significance level is typically set equal to the probability of a Type I error, which is defined as the act of incorrectly rejecting the null hypothesis. In hypothesis testing, the significance level is denoted by the Greek letter alpha. As the level of confidence increases, then the confidence interval will increase. This will be mirrored by a decrease in the alpha coefficient (i.e. the probability of a Type I error) for the hypothesis test. The remaining answers are correct.

Prev Question Next Question