Everything else remaining the same, is it easier to reject a null hypothesis with a 5% or 1% level of significance?
Question
Everything else remaining the same, is it easier to reject a null hypothesis with a 5% or 1% level of significance?
Solution
To determine whether it is easier to reject a null hypothesis at a 5% or 1% level of significance, we can analyze the implications of each significance level.
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Understanding Significance Levels
- The significance level (often denoted as α) represents the probability of rejecting the null hypothesis when it is true (Type I error).
- A 5% significance level (α = 0.05) means that there is a 5% chance of committing a Type I error.
- A 1% significance level (α = 0.01) means that there is a 1% chance of committing a Type I error.
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Comparison of Levels
- At the 5% significance level, you are more willing to reject the null hypothesis because the threshold for evidence against the null hypothesis is lower.
- Conversely, at the 1% significance level, you require stronger evidence against the null hypothesis to reject it.
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Conclusion
- Because the 5% significance level allows for a greater alpha risk, it is easier to reject the null hypothesis at this level compared to the 1% significance level.
Final Answer
It is easier to reject a null hypothesis at a 5% level of significance than at a 1% level of significance.
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