parameter
any characteristic/calculation of a population
statistic
standard error of mean
standard deviation
looks at the difference between observations and the sample mean
random variables
any measurable/categorized characteristic where values/outcomes depend on chance, visualized by probability distributions
binomial distribution
discrete, dichotomous, mutually exclusive with a fixed number of independent trials
types of probability distribution
binomial distribution
poisson distribution
guassian (normal) distribution
poisson distribution
binomial event but events occur infrequently with no restrictions on the number of trails
gaussian (normal) distribution
continuous variables with infinite number of outcomes
- pop mean = 0
- pop SD = 1
z score
empirical rule
central limit theorem
as sample size increases all sampling distributions will approximate the normal distribution
- mean approximated pop mean
SD = standard error
estimation
estimates a pop parameter using sample statistics and probablity
hypothesis testing
making decisions about a value of a pop parameter using a sample of data and probablity
interval estimation
range of values likely with the population parameter
- CI, 95% confidence true pop falls within range
point estimation
single value (sample mean) used to estimate pop parameter
confidence interval
95% CI falls within +/- 2 SD
hypothesis testing decisions
fail to reject the null - not enough evidence to suggest differences (p greater than 0.05)
reject the null - evidence suggests differences (p less than 0.05)
null hypothesis (H0)
status quo, no difference
alternative (H1)
differences, can be one tailed (upper or lower) or two tailed
significance level
the risk willing to take that findings are incorrect (5% chance of incorrect)
rejection region limit
two tailed 5% split (2.5% upper and lower), one tailed 5% all on one side
type I and II error
type I null is true but you reject the null, type II null is false but you accept the null