Download pdf
Application and Role of Hypothesis Testing in Practice
- 1 College of Arts and Sciences, University of Washington, Seattle, USA
* Author to whom correspondence should be addressed.
Abstract
This paper explores the reasons and practical implications of hypothesis testing as an important tool for decision making in today's data-driven world. Beginning with the seminal work of Ronald A. Fisher in the early 1900s, the paper traces how the concepts of the null hypothesis and the p-value evolved into a formal framework. Through applications in fields as diverse as automotive engineering and product development to financial auditing and policy analysis, the focus is on how hypothesis testing can convert data from uncertainty to certainty. The methodology is particularly effective in situations where data are limited and where tools such as t-distributions help to balance the risk of Type I and Type II errors. In addition, the paper highlights the role of hypothesis testing in promoting objective, evidence-based decision making while minimizing personal bias. Finally, it provides a forward-looking perspective on the integration of real-time analytics and increased transparency in research practices, as well as on the development and outlook for future hypothesis testing methods. Overall, the findings suggest that hypothesis testing remains indispensable for resolving uncertainty and guiding reliable decision making in scientific research and common problems.
Keywords
Hypothesis Testing, Data-Driven Decision Making, Real-World Applications, Statistical Inference
[1]. Fisher, R. A. (1925). Statistical methods for research workers. Oliver and Boyd.
[2]. amanatulla1606. (2023). A comprehensive guide to hypothesis testing: Understanding methods and applications. Medium. Retrieved March 17, 2025, from https://medium.com/@amanatulla1606/a-comprehensive-guide-to-hypothesis-testing-understanding-methods-and-applications-5e20dffce791.
[3]. Wasserstein, R. L., Schirm, A. L., & Lazar, N. A. (2019). Moving to a world beyond “p < 0.05”. The American Statistician, 73(sup1), 1–19.
[4]. McShane, B. B., Gal, D., Gelman, A., Robert, C., & Tackett, J. L. (2019). Abandon statistical significance. The American Statistician, 73(2), 235–245.
[5]. Feng Yu. (2013). Hypothesis testing in automotive engineering. (eds.) Proceedings of the seventh academic conference on “GAC-Toyota Cup” in Guangdong automobile industry (pp. 54-57)...
[6]. Feng Na. (2023). A pedagogical approach to financial statement audit objectives based on statistical hypothesis testing. Business Accounting (13), 118-121.
[7]. Amrhein, V., Greenland, S., & McShane, B. (2019). Scientists rise up against statistical significance. Nature, 567(7748), 305–307.
[8]. Montgomery, D. C., & Runger, G. C. (2014). Applied statistics and probability for engineers (6th ed.). Wiley.
[9]. Freund, J. E., & Perles, B. M. (2017). Modern elementary statistics (13th ed.). Pearson.
[10]. Gelman, A., & Loken, E. (2014). The statistical crisis in science. American Scientist, 102(6), 460–465.
Cite this article
Su,J. (2025). Application and Role of Hypothesis Testing in Practice. Theoretical and Natural Science,106,10-14.
Data availability
The datasets used and/or analyzed during the current study will be available from the authors upon reasonable request.
Disclaimer/Publisher's Note
The statements, opinions and data contained in all publications are solely those of the individual author(s) and contributor(s) and not of EWA Publishing and/or the editor(s). EWA Publishing and/or the editor(s) disclaim responsibility for any injury to people or property resulting from any ideas, methods, instructions or products referred to in the content.
About volume
Volume title: Proceedings of the 3rd International Conference on Mathematical Physics and Computational Simulation
© 2024 by the author(s). Licensee EWA Publishing, Oxford, UK. This article is an open access article distributed under the terms and
conditions of the Creative Commons Attribution (CC BY) license. Authors who
publish this series agree to the following terms:
1. Authors retain copyright and grant the series right of first publication with the work simultaneously licensed under a Creative Commons
Attribution License that allows others to share the work with an acknowledgment of the work's authorship and initial publication in this
series.
2. Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the series's published
version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgment of its initial
publication in this series.
3. Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and
during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work (See
Open access policy for details).