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Chi-square and classical exact tests often wildly misreport significance; the remedy lies in computers

Published 20 Aug 2011 in stat.ME, math.ST, stat.CO, and stat.TH | (1108.4126v2)

Abstract: If a discrete probability distribution in a model being tested for goodness-of-fit is not close to uniform, then forming the Pearson chi-square statistic can involve division by nearly zero. This often leads to serious trouble in practice -- even in the absence of round-off errors -- as the present article illustrates via numerous examples. Fortunately, with the now widespread availability of computers, avoiding all the trouble is simple and easy: without the problematic division by nearly zero, the actual values taken by goodness-of-fit statistics are not humanly interpretable, but black-box computer programs can rapidly calculate their precise significance.

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