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In: Statistics and Probability

Problem 6.65. A new drug has been developed to treat a particular condition, and it is...

Problem 6.65. A new drug has been developed to treat a particular condition, and it is alleged to be more effective than traditional treatment. An experiment will be conducted to test whether the claim is true. To perform the hypothesis test, a 99% confidence level is selected for the hypothesis test. The new drug will be administered to a sample of 200 individuals with the condition, selected at random. Another 300 individuals are randomly selected to receive the traditional treatment.

Of the 200 individuals treated with the new drug, 140 were completely cured. Of those treated with the traditional method, 180 were completely cured.

1. Is there statistical evidence to support the claim that the new drug is more effective? Take the proper test and finish 
2. If you were a patient of this condition, which treatment would you select? Justify your answer 

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