Question

In: Statistics and Probability

A pharmacutical company is testing a new allergy medication. They will consider the drug to be...

A pharmacutical company is testing a new allergy medication. They will consider the drug to be effective if the percentage of patients in the treatment group whose symptoms get better is 15% more than the percentage of patients in the control group whose symptoms get better. For example, if 10% of patients in the control get better, and 30% of patients in the treatment group get better, they will consider the drug to be effective, since 30% - 10% = 20% > 15%.

After collecting data from 32 subjects who received the medication and 32 who did not, they find that a 95% confidence interval for the difference in the treatment and control group is (15%, 16%).

Interpret these findings: Select your answer from one of the following options.

  • a.The company cannot determine whether the drug is effective, but the confidence interval includes 15%, so they should collect more data.
  • b.The company cannot determine whether the drug us effective from this sample, but the confidence interval includes 15%, so they should collect more data.
  • c.The company should consider the drug effective, because the average difference in the treatment and control is greater than 15%.

Solutions

Expert Solution

The pharmaceutical company is considering the drug as being effective when the percentage of patients in the treatment group who get better is at least 15% more than the patients who get better in the control group.

Let be the percentage of patients in the control group who get better and be the percentage of patients in the treatment group who get better.

Hence, the rule of the company to consider the treatment to be effective is when:

Now, they have collected data from 64 subjects. Of these 64, 32 belonged to the control group and 32 belonged to the treatment group and hence were administered the drug. They then checked the percentage difference between the two groups. They got a 95% Confidence Interval for the difference of (15%, 16%). This implies that the difference between treatment and control group recoveries is between 15% and 16% with 5% uncertainty. Hence, the probability that the difference is less than 15% is 5/2 = 2.5%.

Hence, they can be confident that their drug is effective.

Therefore, the correct answer is c.

orchestra answered 1 year ago
Next > < Previous

Related Solutions

The following data describe a clinical trial of an allergy medication: Allergy Drug Placebo Control Total...
The following data describe a clinical trial of an allergy medication: Allergy Drug Placebo Control Total Improvement 65 42 31 138 No Improvement 55 58 49 162 Total 120 100 80 300 a. What is the probability that a randomly selected person in the study was given either the drug or the placebo? b. What is the probability that a randomly selected person either improved or did not improve? c. What is the probability that a randomly selected person either...
Investigators are interested in whether or not a new allergy medication, Allergy-Away, has an effect on...
Investigators are interested in whether or not a new allergy medication, Allergy-Away, has an effect on the average number of days per year a person reports experiencing allergy symptoms. The mean number of symptomatic days per year reported by the general population of allergy sufferers is 156 with a population standard deviation of 37 days. Investigators collect information from a sample of 64 people on the new medication. They find the mean number of symptomatic days per year reported from...
A drug company is beginning a new drug trial for a medication that is used to...
A drug company is beginning a new drug trial for a medication that is used to treat rheumatoid arthritis (RA). Jonna is a 22-year-old female who has had RA for 2 years and does not feel that she has full relief of pain from the medications she has taken. She states she has fallen on hard times since she became ill and the money for the study will also be beneficial. She wants to participate in the study. Discuss the...
A drug company is beginning a new drug trial for a medication that is used to...
A drug company is beginning a new drug trial for a medication that is used to treat rheumatoid arthritis (RA). Jonna is a 22-year-old female who has had RA for 2 years and does not feel that she has full relief of pain from the medications she has taken. She states she has fallen on hard times since she became ill and the money for the study will also be beneficial. She wants to participate in the study. 1.Describe how...
researchers at a drug company are testing the duration of a new pain reliever. the drug...
researchers at a drug company are testing the duration of a new pain reliever. the drug is normally distributed with a mean durtion of 240 minutes and a standard deviation of 40 minutes the drug is administered to a random sample of 10 people..what is the populatin mean? what is the standard deviation? what is the sample size? can normal approximation be use for this problem? what is the mean of the samle means? what is the standard deviation of...
Centron, a pharmaceutical company, produces an allergy relief medication called Breezia. The company claims that the...
Centron, a pharmaceutical company, produces an allergy relief medication called Breezia. The company claims that the population standard deviation of the duration of Breezia's allergy relief is 2.50 hours. A scientist with the FDA suspects, however, that the standard deviation of the duration of Breezia's allergy relief is greater than (less consistent than) what the company claims. The scientist obtains a random sample of 24 adults with allergy sensitivities, measures the duration of Breezia's allergy relief for each person, and...
Centron, a pharmaceutical company, produces an allergy relief medication called Breezia. The company claims that the...
Centron, a pharmaceutical company, produces an allergy relief medication called Breezia. The company claims that the population standard deviation of the duration of Breezia's allergy relief is 2.50 hours. A scientist with the FDA suspects, however, that the standard deviation of the duration of Breezia's allergy relief is greater than (less consistent than) what the company claims. The scientist obtains a random sample of 24 adults with allergy sensitivities, measures the duration of Breezia's allergy relief for each person, and...
You are assigned the responsibility to prepare a promotional campaign for a new allergy relief drug...
You are assigned the responsibility to prepare a promotional campaign for a new allergy relief drug produced by the Elizabethtown Pharmaceutical Corporation. Outline the highlights of applying both a pull strategy and a push strategy.
Consider a single firm producing an allergy medication under patent. (You can think of the quantity...
Consider a single firm producing an allergy medication under patent. (You can think of the quantity of allergy medication in terms of bottles of medication). The demand for allergy medication is given by ?? = 100 ? 0.1????. The marginal cost of producing allergy medication is given by ???? = 5 + 0.3???? . a. Graphically illustrate the profit maximizing quantity of allergy medication and the price the firm charges. Though you do not have an equation, draw in an...
Q3. A or B? A pharmaceutical company is testing two new medication that alleviates rheumatism symptoms....
Q3. A or B? A pharmaceutical company is testing two new medication that alleviates rheumatism symptoms. 35 random patients tested drug A and 71% of them reported their symptoms are alleviated. 60 random patients (who are different from patients who tried drug A) tried drug B and 73% of them reported they felt better after taking the medication. Suppose, the pharmaceutical company would launch an advertising campaign if more then 70% of the patients report the medication is effective. What...
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT