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Part CCSIR NET December 2024the-upper-tail-costs-no-size

The upper tail costs no size

Let be a random sample from Uniform distribution, . Consider the likelihood ratio test of size 0.001 for testing against . Then, which of the following statements are true?

  1. A.If max{} is 3.1, then is rejected.
  2. B.If max{} is 1.3, then is rejected.
  3. C.If max{} is 0.1, then is rejected.
  4. D.The power of the test at is 1.

You have the answer. Trap Analysis is why the other three were written.

Not a worked solution repeated four times — the specific reasoning error each wrong option was built to reward.

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50 are analysed free — try those first.

Related counterexample: Any interval of the form [X̄ − (S/√n)t, ∞) with a 90% quantile t is a 90% confidence interval

More on this topic

The chapter behind this: Standard tests and confidence intervals — free to read

From Hypothesis TestingLikelihood ratio and standard tests

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