Definition: The acceptance region occurs in the context of hypothesis testing. Let T be a test statistic.
Possible values of T can be divided into two regions, the acceptance region
and the rejection region. If the value of T comes out to be in the
acceptance region, the null hypothesis being tested is not rejected.
If T falls in the rejection region, the null hypothesis is rejected.
The terms 'acceptance region' and 'rejection region' may also refer to the subsets of the sample space that would produce statistics T in the acceptance region or rejection region as defined above.(Econterms)
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The terms 'acceptance region' and 'rejection region' may also refer to the subsets of the sample space that would produce statistics T in the acceptance region or rejection region as defined above.(Econterms)
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Books on Acceptance Region:
- Davidson, Russell, and James G. MacKinnon. 1993. Estimation and Inference in Econometrics. Oxford University Press.
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