Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

2. Suppose there is a newly developed drug test for an illegal drug. Further suppose the test is 97% accurate in the case of a

2. Suppose there is a newly developed drug test for an illegal drug. Further suppose the test is 97% accurate in the case of a user of that drug (it produces a positive result with probability .97 in the case that the tested individual uses the drug) and 70% accurate in the case of a non-user (it is negative with probability .7 in the case the person does not use the drug). Suppose it is known that 15% of the entire population uses this drug.

(a) Suppose that a randomly selected individual tested negative for drug use. What is the probability that this individual uses the illegal drug? Explain your answer very carefully.

(b) Suppose that a randomly selected individual tested positive for the drug use. What is the probability that individual does not use the drug? Explain your answer very carefully.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Macroeconomics Policy And Practice

Authors: Frederic Mishkin

2nd Edition

0133424316, 978-0133424317

More Books

Students also viewed these Economics questions