# Sunday Bayes: Testing precise hypotheses

First and foremost, when testing precise hypotheses, formal use of P-values should be abandoned. Almost anything will give a better indication of the evidence provided by the data against Ho.

### Sunday Bayes series intro:

After the great response to the eight easy steps paper we posted, I started a recurring series, where each week I highlight one of the papers that we included in the appendix of the paper. The format is short and simple: I will give a quick summary of the paper while sharing a few excerpts that I like. If you’ve read our eight easy steps paper and you’d like to follow along on this extension, I think a pace of one paper per week is a perfect way to ease yourself into the Bayesian sphere. At the end of the post I will list a few suggestions for the next entry, so vote in the comments or on twitter (@alxetz) for which one you’d like next. This paper was voted to be the next in the series.

(I changed the series name to Sunday Bayes, since I’ll be posting these on every Sunday.)

### Testing precise hypotheses

This would indicate that say, claiming that a P-value of .05 is significant evidence against a precise hypothesis is sheer folly; the actual Bayes factor may well be near 1, and the posterior probability of Ho near 1/2 (p. 326)

Berger and Delampady (pdf link) review the background and standard practice for testing point null hypotheses (i.e., “precise hypotheses”). The paper came out nearly 30 years ago, so some parts of the discussion may not be as relevant these days, but it’s still a good paper.

They start by reviewing the basic measures of evidence — p-values, Bayes factors, posterior probabilities — before turning to an example. Rereading it, I remember why we gave this paper one of the highest difficulty ratings in the eight steps paper. There is a lot of technical discussion in this paper, but luckily I think most of the technical bits can be skipped in lieu of reading their commentary.

One of the main points of this paper is to investigate precisely when it is appropriate to approximate a small interval null hypothesis by using a point null hypothesis. They conclude, that most of the time, the error of approximation for Bayes factors will be small (<10%),

these numbers suggest that the point null approximation to Ho will be reasonable so long as [the width of the null interval] is one-half a [standard error] in width or smaller. (p. 322)

A secondary point of this paper is to refute the claim that classical answers will typically agree with some “objective” Bayesian analyses. Their conclusion is that such a claim

is simply not the case in the testing of precise hypotheses. This is indicated in Table 1 where, for instance, P(Ho | x) [NB: the posterior probability of the null] is from 5 to 50 times larger than the P-value. (p. 318)

They also review some lower bounds on the amount of Bayesian evidence that corresponds to significant p-values. They sum up their results thusly,

The message is simple: common interpretation of P-values, in terms of evidence against precise [null] hypotheses, are faulty (p. 323)

and

the weighted likelihood of H1 is at most [2.5] times that of Ho. A likelihood ratio [NB: Bayes factor] of [2.5] is not particularly strong evidence, particularly when it is [an upper] bound. However, it is customary in practice to view [p] = .05 as strong evidence against Ho. A P-value of [p] = .01, often considered very strong evidence against Ho, corresponds to [BF] = .1227, indicating that H1 is at most 8 times as likely as Ho. The message is simple: common interpretation of P-values, in terms of evidence against precise [null] hypotheses, are faulty (p. 323)

### A few choice quotes

Page 319:

[A common opinion is that if] θ0 [NB: a point null] is not in [a confidence interval] it can be rejected, and looking at the set will provide a good indication as to the actual magnitude of the difference between θ and θ0. This opinion is wrong, because it ignores the supposed special nature of θo. A point can be outside a 95% confidence set, yet not be so strongly contraindicated by the data. Only by calculating a Bayes factor … can one judge how well the data supports a distinguished point θ0.

Page 327:

Of course, every statistician must judge for himself or herself how often precise hypotheses actually occur in practice. At the very least, however, we would argue that all types of tests should be able to be properly analyzed by statistics

Page 327 (emphasis original, since that text is a subheading):

[It is commonly argued that] The P-Value Is Just a Data Summary, Which We Can Learn To Properly Calibrate … One can argue that, through experience, one can learn how to interpret P-values. … But if the interpretation depends on Ho, the sample size, the density and the stopping rule, all in crucial ways, it becomes ridiculous to argue that we can intuitively learn to properly calibrate P-values.

page 328:

we would urge reporting both the Bayes factor, B, against [H0] and a confidence or credible region, C. The Bayes factor communicates the evidence in the data against [H0], and C indicates the magnitude of the possible discrepancy.

Page 328:

Without explicit alternatives, however, no Bayes factor or posterior probability could be calculated. Thus, the argument goes, one has no recourse but to use the P-value. A number of Bayesian responses to this argument have been raised … here we concentrate on responding in terms of the discussion in this paper. If, indeed, it is the case that P-values for precise hypotheses essentially always drastically overstate the actual evidence against Ho when the alternatives are known, how can one argue that no problem exists when the alternatives are not known?

### Vote for the next entry:

1. Edwards, Lindman, and Savage (1963) — Bayesian Statistical Inference for Psychological Research (pdf)
2. Rouder (2014) — Optional Stopping: No Problem for Bayesians (pdf)
3. Gallistel (2009) — The Importance of Proving the Null (pdf)
4. Lindley (2000) — The philosophy of statistics (pdf)

## One thought on “Sunday Bayes: Testing precise hypotheses”

1. […] itself offers only weak evidence against the null hypothesis.” I recently discussed a paper on this blog (Berger & Delampady, 1987 [pdf]) that showed exactly this: A p-value near .05 can only achieve […]