Likelihood ratio tests and intersection-union tests

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The likelihood ratio test (LRT) method is compared with the intersection-union test (IUT) method which is appropriate when the null hypothesis is expressed as a union of sets. Some relations between tests that result from these two methods are given. Conditions are obtained under which both methods yield the same test. Conditions also are given under which the size-\(\alpha\) IUT is uniformly more powerful that the size-\(\alpha\) LRT. The relationships are illustrated by investigating the problem of testing \(H_0:\min\{| \mu_1| ,| \mu_2| \}=0\) versus \(H_{a}:min\{| \mu_1| ,| \mu_2| \}>0\), where \(\mu_1\) and \(\mu_2\) are means of two normal populations. It is illustrated in an example how even more powerful tests may be found by careful consideration of the specific problem. For the entire collection see [Zbl 0990.62506].











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