Week 3

One Sample Hypothesis Testing

Team C

Lynnlea Bible, Joe Bridges, John Lowe, Craig Morczynski

University of Phoenix

Research and Evaluation II

RES 342

Gerald Rintala

March 01, 2011

One Sample Hypothesis Testing

Hypothesis testing is an extremely important piece of the puzzle which can assist us in the decision-making process. Hypothesis testing can assist various organizations including research and evaluations groups answer questions, assist with certain assumptions and /or theories, which in turn can help solve testing issues. The example data set chosen are of Major League Baseball salaries and the possible connection between player’s salaries and player’s actual performance. To discover colorations and to test measurement theories, hypothesis testing is required.

In developing the hypothesis it is understood that it is necessary to formulate a pair of mutually exclusive, collectively exhaustive statements about Major League Baseball. One statement or the other must be true, but they cannot both be true, so H0: = Null Hypothesis and H1: = Alternative Hypothesis. The two statements are hypotheses because the truth is unknown. Efforts will be made to reject the null hypothesis (sometimes called the maintained hypothesis). If H0 happens to be a favorite theory, we might not really wish to reject it, but we try anyway. If we reject H0, we tentatively conclude that the alternative hypothesis H1 is the case. Whereas H0 represents the status quo (e.g., the current state of affairs) H1 is sometimes called the action alternative because action may be required if we reject H0 in favor of H1. (Doane & Seward, 2007, p. 348)

It is very important to remember that for the purpose of team C’s hypothesis, the statement concerning the value of a population parameter was developed for testing. Team C’s goal is to discover the connection between the Major League Baseball’s salaries paid and the performance given by...