Alpha Level (α = 0.05)

Definition

Alpha level, often denoted as α, is used in hypothesis testing and represents the significance level at which we reject or fail to reject null hypotheses. It determines how much evidence we need against our null hypothesis before we can conclude there is enough evidence for an alternative hypothesis.

Related terms

Null Hypothesis: The null hypothesis is a statement that assumes there is no significant difference or relationship between variables.

Type I Error: A type I error occurs when we reject the null hypothesis, even though it is true. It represents a false positive result.

P-value: The p-value measures the strength of evidence against the null hypothesis and indicates whether we should reject or fail to reject it based on our sample data.