Question
An upgrade to road is considered. To be financially viable the traffic levels need to return to at least 80% of pre-pandemic rates. Let p
An upgrade to road is considered. To be financially viable the traffic levels need to return to at least 80% of pre-pandemic rates. Let p be the percentage of pre-pandemic traffic using the road in six months' time. The hypotheses are set up as follows: H0: p 80 H1: p > 80
a) From the following list select the Type 1 error, state what a Type 1 error is, and explain what the consequence of a Type 1 error would be in this context.
(i) The council does not upgrade the road when there is enough traffic.
(ii) The council does not upgrade the road when there is insufficient traffic.
(iii) The council upgrades the road when there is insufficient traffic.
(iv) The council upgrades the road when there is enough traffic.
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