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parametric and nonparametric hypothesis test

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1. Can the formal hypothesis testing approach be used for non parametric tests?

a) How are parametric and nonparametric statistics different?
b) How are parametric and nonparametric statistics similar?

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Solution Summary

Explains the differernces and similarities between parametric and nonparametric statistics.

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A formal hypothesis testing approach can be used for non parametric tests only if the sample size is large ( bigger than 30). This is due the central limit theorem: If the sample size is big, then the distribution is approximately normal. Otherwise, we need to carry out non parametric tests.

a) A parametric test is a test that requires a ...

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