A pharmaceutical company is testing to see whether its new drug is significantly better than the existing
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A pharmaceutical company is testing to see whether its new drug is significantly better than the existing drug on the market. It is more expensive than the existing drug. Which significance level would the company prefer? Which significance level would the consumer prefer?
Indicate whether it makes more sense to use a relatively large significance level (such as α = 0.10) or a relatively small significance level (such as α = 0.01).
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Related Book For
Statistics Unlocking The Power Of Data
ISBN: 9780470601877
1st Edition
Authors: Robin H. Lock, Patti Frazer Lock, Kari Lock Morgan, Eric F. Lock, Dennis F. Lock
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