Interpret no significant difference from an experiment
Last updated: March 5, 2026
Quick Overview
An experiment shows a 3% lift with p=0.08. What conclusions can you draw? What are the caveats?
Compass
March 5, 20268
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An experiment shows a 3% lift with p=0.08. What conclusions can you draw? What are the caveats?
This statistics question from Compass's Take-home Project tests your ability to apply mathematical reasoning to practical problems. The interviewer expects precise definitions, correct methodology, and awareness of assumptions and limitations.
What the Interviewer Expects
- Set up the problem formally with proper notation
- Apply the correct statistical test with clear justification
- Interpret results with appropriate caveats and confidence levels
- Discuss practical significance vs statistical significance
- Identify potential confounders and how to address them
Key Topics to Cover
How to Approach This
- Define your hypotheses (H0 and H1) clearly before performing any test.
- Calculate required sample size BEFORE running an experiment, using power analysis.
- Remember the Central Limit Theorem: sample means become approximately normal with large n.
- Watch for Simpson's paradox. Always segment data by key dimensions.
- Distinguish between statistical significance and practical significance.
Possible Follow-up Questions
- What alternative statistical method could you use here?
- What if the sample size is very small?
- How would you handle multiple comparisons?
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Setting Up the Problem
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Solution Approach
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