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Mathematics, 09.12.2021 16:40 gigi239

Many consumer groups in a certain country feel that the approval process for a new drug is too easy, and, as a result, too many drugs are approved that are later found to be unsafe. Consider a null hypothesis that a new, unapproved drug is unsafe and an alternative hypothesis that a new, unapproved drug is safe. a) What would be a Type I and Type II errors in this setting? b) Which one is costlier for the consumers to commit? Type I or Type II? Explain.

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