Signal Detection Theory (SDT)

Signal Detection Theory (sdt) is used to analyze data coming from experiments where the task is to categorize ambiguous stimuli which can be generated either by a known process (called the signal) or be obtained by chance (called the noise in the sdt framework). In particular sdt is used to analyze experiments where a binary answer (e.g., “Yes” vs “No”) needs to be provided. For example, if we need to decide if an education program is effective or not, we can use sdt.