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CFA Level 1
Quantitative Methods

Interpreting P-Value Results in Hypothesis Testing

Hard Hypothesis Testing P-values And Significance

A researcher is investigating the effect of a new diet on weight loss and has collected data from two independent groups: one group followed the new diet while the other followed a traditional diet. After performing a statistical test, the researcher reported a p-value of 0.03 for the hypothesis test comparing the mean weight loss between the two groups.

The significance level ( \alpha ) for the test was set at 0.05. Based on the p-value obtained, what can the researcher conclude about the effect of the new diet?

Hint

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