Question

a pharmaceutical company claimed that their new drug is able to cure lung cancer. as a government regulator, you want the test results to show that the above claim is true beyond a reasonable doubt.

(a) set up the null and alternative hypothesis for the above problem in words

(b) explain briefly the type 1 error within the context of the above problem. what is the cost of making a type 1 error?

(c) describe the type 2 error of this particular problem. What is the cost of type 2 error ? How do researchers avoid committing to a type 2 error?

(d) if you were going to use a precautionary approach to the above problem which error would you want to minimize ? explain briefly what this implies in terms of the probability of the other error and to the power of the test to detect a false null hypothesis.  

Answer 1