Significance improvement by randomized test in random sampling without replacement
This paper studies one-sided hypothesis testing under random sampling without replacement. That is, when n+1 binary random variables X_1,…, X_n+1 are subject to a permutation invariant distribution and n binary random variables X_1,…, X_n are observed, we have proposed randomized tests with a randomization parameter for the upper confidence limit of the expectation of the (n+1)th random variable X_n+1 under a given significance level δ>0. Our proposed randomized test significantly improves over deterministic test unlike random sampling with replacement.
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