February, 2003
© 2000, 2001, 2003 Scott S. Emerson, M.D., Ph.D.
Session 1- Fixed Sample Design: 62
Defining the Hypotheses         
Decision Theoretic Framework: Two-sided tests
(Assume large q corresponds to benefit)
Test of a two-sided alternative (q+ > q0  > q- )
·Upper Alt:    H+: q ³ q+       (sufficiently superior)
·Null:             H0: q = q0                       (equivalent)
·Lower Alt:    H -: q £ q-       (dangerously inferior)
Decisions:
·Reject H0, H-  ÜŞ    T ³ cU               (superior)
·Reject H+, H-  ÜŞ cL £ T £  cU      (approx equiv)
·Reject H+, H0 ÜŞ    T £  cL               (inferior)
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