What is 'Hypothesis Testing'
Hypothesis testing is a process by which an analyst tests a statistical hypothesis. The methodology employed by the analyst depends on the nature of the data used, and the goals of the analysis. The goal is to either accept or reject the null hypothesis.
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BREAKING DOWN 'Hypothesis Testing'
Hypothesis testing is used to infer a result of a hypothesis performed on sample data from a larger population. For example, performing a hypothesis test on sample data in an attempt to determine the mean of a population is the same as the mean of the sample.
RELATED TERMS

Null Hypothesis
A type of hypothesis used in statistics that proposes that no ... 
Type II Error
A statistical term used within the context of hypothesis testing ... 
Alpha Risk
The risk in a statistical test that a null hypothesis will be ... 
Type I Error
A type of error that occurs when a null hypothesis is rejected ... 
Beta Risk
The probability that a false null hypothesis will be accepted ... 
TwoTailed Test
A statistical test in which the critical area of a distribution ...
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