In: Statistics and Probability
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.
a.) Describe an outcome that would result in a Type I error. Explain the rationale for your answer. b.) Describe an outcome that would result in a Type II error. Explain the rationale for your answer.
Please explain your reasoning/rationale in your response.
H0 : New medication B is less or equally effective than the standard medication A.
H1 : New medication B is more effective than the standard medication A
a) Type I error occurs when we reject correct null hypothesis. Here type I error occurs when we conclude that new medication B is more effective than the standard medication A but actually new medication B is less or equally effective than the standard medication A.
If type I error occurs, patients will use medication B and think that they are using better medicine while this is not better than standard medication A.
b) Type II error occurs when we fail to reject incorrect null hypothesis. Here type II error occurs when we conclude that new medication B is less or equally effective than the standard medication A but actually new medication B is more effective than the standard medication A.
If type II error occurs, patients will not be able to get new medication B while this is better than standard medication A.