In: Statistics and Probability
Please no cursive
Two types of medication for hives are being tested. The manufacturer claims that the new medication B is more effective than the standard medication A and undertakes a comparison to determine if medication B produces relief for a higher proportion of adult patients within a 30-minute time window. 20 out of a random sample of 200 adults given medication A still had hives 30 minutes after taking the medication. 12 out of another random sample of 200 adults given medication B still had hives 30 minutes after taking the medication. The hypothesis test is to be carried out at a 1% level of significance.
Given that,
There are two types of medicines A and B.
The manufacturer claims that the new medication B is more effective than the standard medication A and undertakes a comparison to determine if medication B produces relief for a higher proportion of adult patients within a 30-minute time window.
a) State the null and alternative hypotheses in words and in statistical symbols.
The hypothesis for the test is,
H0: Pa = Pb Vs Pa < Pb
In wording :
H0 : new medication B is less effective than the standard medication A.
H1 : new medication B is more effective than the standard medication A
Assume alpha = level of significance = 1% = 0.01
b) What statistical test is appropriate to use? Explain the rationale for your answer.
Here we will use two proportion z-test.
Here sample size is 200 which is too large so we will go to tow sample z-test.
c) Would the test be right-tailed, left-tailed or two-tailed? Explain the rationale for your answer.
The test is left tailed and therefore this is one tailed test.
d) Describe an outcome that would result in a Type I error. Explain the rationale for your answer.
Type I error = P(Reject H0 / H0 true)
= P(new medication B is more effective than the standard medication A / new medication B is less effective than the standard medication A.)
Type I error we denote by alpha.
e) Describe an outcome that would result in a Type II error. Explain the rationale for your answer.
Type II error = P(Accept H0 / H1 is true)
= P(new medication B is less effective than the standard medication A. / new medication B is more effective than the standard medication A)
Type II error we denote by beta.