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Q17Section A (Section A)17 of 60

Critical region of the most powerful test for a Laplace scale

Let X1,…,XnX_1,…,X_n be a random sample from a population with the probability density function f(x)=12θe−∣x∣/θf(x)=\dfrac1{2\theta}e^{-|x|/\theta}, x∈Rx\in\mathbb R, θ>0\theta>0. For a suitable constant KK, the critical region of the most powerful test for testing H0:θ=1H_0:\theta=1 against H1:θ=2H_1:\theta=2 is of the form

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