One-Sample t Test for a Mean (σ Unknown): Critical-Value Approach
When the population standard deviation σ is unknown, we replace it with the sample standard deviation s.
The standardized test statistic follows a t distribution with df = n − 1.
The critical-value approach compares the observed test statistic to one or two critical t values determined by
the significance level α and the tail direction of the alternative hypothesis.
When to use the t distribution
- σ is not known and you have a random sample of size n.
- For small samples (often n < 30), the method is most reliable when the population distribution is approximately normal (and there are no strong outliers).
- For larger samples, the procedure is generally robust to mild non-normality.
- If n is small and the population is strongly non-normal or unknown with outliers, consider a nonparametric method.
Hypotheses and tails
Let μ be the population mean and let μ0 be the hypothesized value.
The alternative hypothesis determines the tail(s):
- Two-tailed: H1: μ ≠ μ0
- Left-tailed: H1: μ < μ0
- Right-tailed: H1: μ > μ0
Test statistic
With sample mean x̄, sample standard deviation s, and sample size n, define the standard error:
Critical values and rejection regions
Choose a significance level α (Type I error rate). Let df = n − 1. Then:
- Two-tailed: critical values are ±tα/2, df; reject if |t| ≥ tα/2, df.
- Left-tailed: critical value is tα, df (negative); reject if t ≤ tα, df.
- Right-tailed: critical value is t1−α, df (positive); reject if t ≥ t1−α, df.
Decision statement
The critical-value approach concludes either:
- Reject H0 (the sample result is in the rejection region), or
- Do not reject H0 (the sample result is in the nonrejection region).
Practical note: The t distribution has heavier tails than the normal distribution for small df.
As df increases, the t distribution becomes closer to the normal distribution.