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It is important to keep the probability of making Type I equal to α. With a...

It is important to keep the probability of making Type I equal to α. With a t-test, how do we keep the probability of Type I error in check?

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Answer #1

In any test, we have a level of significance for the test which defines the rule for conducting the test. The level of significance is used to define the rejection region for the test statistic. The test is significant when the p-value for the test is lower than the level of significance, otherwise it is not rejected. Therefore this is how we make sure that the probability or rejecting the null hypothesis given that it is true which is the type I error remains within the level of significance.

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