Describe what circumstances would suggest that type i error

Assignment Help Business Management

Reference no: EM13794924

The Oasis Chemical Company develops and manufactures pharmaceutical drugs for distribution and sale in the United States. The pharmaceutical business can be very lucrative when useful and safe drugs are introduced into the market. Whenever the Oasis research lab considers putting a drug into production, the company must establish the following sets of null and alternative hypotheses:

Set 1

Ho: The drug is safe

Ha: The drug is not safe

Set 2

Ho: The drug is effective

Ha: The drug is not effective

a. Discuss the considerations that should be made in establishing alpha and beta.

b. For each set of hypotheses, describe what circumstances would suggest that a Type I error would be of more concern. Carefully Explain.

c. For each set of hypotheses, describe what circumstances would suggest that a Type II error would be of more concern. Carefully Explain.

Reference no: EM13794924

Questions Cloud

Write the critical summary of given article : Write the critical summary of "The Komagata Maru and Ghadr Party: Past and Present of a historic challenge to Canada's Exclusion of Immigrants from India" by Hugh J.M. Johnston in 800 words.

American culture in recent decades issues : If you disagree and believe that the family has become stronger in American culture in recent decades, please explain why.

Analyzes the most important external environmental factor : Identifies and analyzes the most important external environmental factor in the remote, industry, and external operating environments. Identifies and analyzes the most important internal strengths and weaknesses of your organization: include an as..

What new or emergent strategies will be pursued : Normal 0 false false false EN-US X-NONE X-NONE What new or emergent strategie..

Describe what circumstances would suggest that type i error : The Oasis Chemical Company develops and manufactures pharmaceutical drugs for distribution and sale in the United States. The pharmaceutical business can be very lucrative when useful and safe drugs are introduced into the market. Whenever the Oas..

What was the northwest territory : What was the Northwest Territory? How did the Northwest Territory change beliefs about the relationship between England and the colonies?

Difference between the us and europe : Discuss one difference between the US and Europe among the many features.in european poiltics.

Stellar magnitude unusual as a scale of brightness of stars : What makes stellar magnitude unusual as a scale of brightness of stars?

Explain what effect you think sound device has on tone : explain what effect you think the sound device / example has on the overall tone, mood, or theme of the poem. What emotions do these sound devices evoke?

User Account

All Pages