p-value

#statistics #interview

P-value defines the confidence of a statistical hypothesis
In other words, P-value is the aggregated probability of the Null Hypothesis and the opposite side of the Alternative Hypothesis
- For example, if the Null hypothesis is "the average income in USA is 10k"
- Then Alternative Hypothesis would be "the average income in USA is greater than 10k"
- Then the p-value would be the summation of "the average income in USA from 0 to 10k".

If p-value is less than predefined Statistical Significance, then we can reject the Null Hypothesis
Else, we Fail to Reject the Null Hypothesis
There are 3 types of p-value:
1. Left-tailed p-value
2. Right-tailed p-value
3. Two-tailed p-value

References:

https://towardsdatascience.com/null-hypothesis-and-the-p-value-fdc129db6502

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