The construction of the t-statistic for a one- and a two-sided hypothesis

A) depends on the critical value from the appropriate distribution.
B) is the same.
C) is different since the critical value must be 1.645 for the one-sided hypothesis, but 1.96 for the two-sided hypothesis (using a 5% probability for the Type I error).
D) uses ±1.96 for the two-sided test, but only +1.96 for the one-sided test.


Answer: B) is the same.

Economics

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