Drill rig operations. In January 2021, an energy finance analysis study by the Institute for Energy Economics and Finance Analysis reported that the price volatility of liquefied natural gas (LNG) will increase in 2021 due to delays in drilling activity for shale oil and gas in 2020. It was reported that, internationally, drill rig operations were down by 40% over the year 2020.

a. Identify the parameter of interest.

b. Give the null and alternative hypotheses for testing the reported decreased percentage of drill rig operations.

c. Describe a Type I error in the words of the problem.

d. Describe a Type II error in the words of the problem. NW