As Significance level is dependent on Signal, Noise & Sample size, should i consider that to work with higher Significance Levels, i will have to either improve the Signal strength, increase Sample size or reduce Noise.

A good amateur level example covering all the 3(Signal, Sample size & Noise) would be highly appreciated.

Gud times...

Hi Kiran,

I hope this will make some sense,

When you want to decide on buying a car there are three important factors (CHEAP, FAST & GOOD). The problem in the real life is we can only choose two. (If you want it Cheap and Fast it will not be Good, if you want it Fast and Good it will not be Cheap and finally if you want it to be Cheap and Good it will not be Fast).

Taking clue from this

1. if you are considering a small sample test with minimum risk the effect will have to be very huge to be able to detect it.

2. On the other hand you are considering the small effect using a small sample size you are accepting a lot of risk in accepting or rejecting the hypothesis.

3. In cognizance to the above points it is clearly derived that, minimizing the risk and also detecting small effects will need a collection and testing of huge samples.

Depending on the process you are testing you can check which, is the least important factor and go with the other 2.