Can research be done without formulating a hypothesis

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RET2015

Business Finance

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1. Can research be done without formulating a hypothesis? What is the importance of the null hypothesis?

2. When is a hypothesis rejected? When it isn’t rejected? What are its limitations?

3. What is the difference between level of significance and level of confidence? How are the two related to type I and type II errors used in hypothesis testing? Explain using a specific example.

4. What is z-test? What is t-test? When should we use t-test, not z-test for population means? Would the results be significantly different?

5. Explain the difference between a left-tailed, right-tailed and two-tailed test. Give you own examples.

6. When would you choose a two-tailed test? How might you tell the direction of the test by looking at a pair of hypothesis? How might you tell which direction (or no direction) to make the hypothesis by looking at the problem statement (research question)?

7. What is the differences between a dependent (paired) test and an independent two- samples independent test? What are the requirements needed for each test. Provide examples.

8. Under what circumstances must a nonparametric test be used? Explain. What are the strengths and weaknesses of nonparametric tests? Can the outcomes of nonparametric tests be generalized to populations?

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Explanation & Answer

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Running head: STATISTICS

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Statistics
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STATISTICS

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Question 1

The main aim of developing a hypothesis in research is to test existing theories and laws
for proper prediction making either in general and absolute terms. Generally, it’s not a must for a
researcher to formulate a hypothesis in quantitative research (Stockburge, 2007). This is justified
by the fact that descriptive research does need formulation of the hypothesis for it to be deemed
scientific. However, experimental studies and inferential statistics do require a hypothesis for
proper data analysis. In statistics, a null hypothesis is used to show that there is no statistical
significance in a set of given information. It shows absence of variations between variables.
Question 2
A hypothesis is only rejected after collected data has been analyzed in a comprehensive,
scientific and statistical way. In the event that statistical analysis shows that the significance
level is below 0.05 recommended threshold values, then the hypothesis is rejected; on the basis
that it does not achieve the target goal (Stockburge, 2007). On the other hand, if analysis of the
collected data shows that the significance level is equal or above 0.05, then the hypothesis is
accepted. The fol...


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