058. The Probability of Error–The Alpha Value

In formulating a confidence interval there is, of course, a chance that the interval will be in error and not contain the unknown value of the parameter. If a 95 percent level of confidence is chosen, then 95 percent of all the possible intervals contain the parameter. Thus, the remaining 5 percent do not. This 5 percent is called the Alpha value and is found as (1 - Confidence coefficient). A 99 percent confidence interval carries an alpha value of 1 percent and a 90 percent confidence interval carries a 10 percent alpha value.

< Предыдущая		Следующая >