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One-Sided Alternatives(cont) e Having picked a significance level, a,we look up the(1-a)th percentile in a t distribution with n-k-1 df and call this c the critical value o We can reject the null hypothesis if the t statistic is greater than the critical value o If the t statistic is less than the critical value then we fail to reject the null Economics 20- Prof anderson 10Economics 20 - Prof. Anderson 10 One-Sided Alternatives (cont) Having picked a significance level, a, we look up the (1 – a) th percentile in a t distribution with n – k – 1 df and call this c, the critical value We can reject the null hypothesis if the t statistic is greater than the critical value If the t statistic is less than the critical value then we fail to reject the null
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