Problem 4BSC

Efficiency of the Sign Test Refer to Table 13-2 in Section 13-1 and identify the efficiency of the sign test. What does that value tell us about the sign test?

Solution 4BSC

The table has the following information for the sign test

In the matched pairs of sample data Sign test has an efficiency of 0.63.

The efficiency of 0.63 of the sign test suggests that for matched pairs with no particular distribution, Sign test is better to be used.