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A DECISION MODEL FOR SELECTING ALTERNATIVE HYPOTHESES: AN EXTENSION*
Author(s) -
Eckardt Walter L.,
Aucamp Donald C.
Publication year - 1977
Publication title -
decision sciences
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.238
H-Index - 108
eISSN - 1540-5915
pISSN - 0011-7315
DOI - 10.1111/j.1540-5915.1977.tb01102.x
Subject(s) - extension (predicate logic) , computer science , decision rule , binomial (polynomial) , binomial distribution , test (biology) , statistical hypothesis testing , econometrics , decision model , mathematical optimization , mathematics , statistics , machine learning , artificial intelligence , paleontology , biology , programming language
A decision rule for selecting a one‐sided or two‐sided alternative for a standard hypothesis test is developed. Using a prior distribution of the parameter to be tested, the alternative is chosen which maximizes expected power. The test of a binomial parameter is presented to illustrate the method.