Assessing Normality Assumption for Linear Regression in R

The normality assumption in linear regression is necessary to ensure the estimates of parameters are unbiased and the hypothesis testing is correct. It states that for the fixed or given values of explanatory variables, the dependent variables are normally distributed around the mean 0. It is equivalent to say that the residuals after model estimation follow a normal distribution with the mean 0.

Calculate point-biserial and biserial correlations using R

When a correlation, usually Person type correlation, is calculated, two variables have to be continuous. But this requirement does not excludes the situation when one of the two variables is a dichotomous (binary) distributed. Say if we want to measure the correlations between height and gender for a group of people, the variable gender has clear dichotomous values. This kind of Pearson correlation is called point-biserial correlation, because the value for gender variable is strictly 0 or 1.

Calculating The Power of a Test in Hypothesis Testing with R

In hypothesis testing, the analyst has chance to commit both Type I and Type II errors. The Type I error (α) refers to the probability of wrongly rejecting a true Null hypothesis – H0, while the Type II error (ß) represents the probability that failing to reject a false H0. The value of 1- ß is called the Power of Test in hypothesis testing. Its value says the ability of correctly rejecting a false H0, under the specified Null hypothesis – H0 and Alternative hypothesis – H1.

Calculating Type I Error and Type II Error of Hypothesis Testing using R

In statistical hypothesis testing, there are usually two types of errors that the process will encounter, namely Type I and type II errors. Type I error (α) refers to the probability of rejection of a Null Hypothesis (H0) when actually it is true, and if a false Null hypothesis is missed to reject when an Alternative Hypothesis (H1) is true, then a type II error (ß) occurs.