Question

A food safety inspector is called upon to investigate a restaurant with a few customer reports of poor sanitation practices. The food safety inspector uses a hypothesis testing framework to evaluate whether regulations are not being met. If he decides the restaurant is in gross violation, its license to serve food will be revoked.

Write the hypotheses in words.
Ho:
Ha:


(b) What is a Type 1 Error in this context?



(c) What is a Type 2 Error in this context?



(d) Which error is more problematic for the restaurant owner? Why?

Answer 1

The null and alternative hypothesis are

Ho: Regulations are being met.

Ha : Regulations are not being met.

b) Type I error is the probability of rejecting Ho when it is true

In this case, Type I error is the probability of deciding that the

restaurant is in gross violation although it meets all regulations

c) Type II error is the probability of accepting Ho when it is false.

In this case Type II error is the probability of deciding that the restaurant is not in gross violation when actually the restaurant is violating regulations.

d) For the restaurant owner it is more problematic if the restaurant's license to serve food will be revoked more so if he is followinrg regulations. Hence Type I error is more problematic for the restaurant owner.