Statistics software
A Statistics professor has observed that for several years about 13% of the students who initially enroll in his Introductory Statistics course withdraw before the end of the semester. A salesperson suggests that he try a statistics software package that gets students more involved with computers, predicting that it will cut the dropout rate. The software is expensive, and the salesper- son offers to let the professor use it for a semester to see if the dropout rate goes down significantly. The professor will have to pay for the software only if he chooses to continue using it.
a) Is this a one-tailed or two-tailed test? Explain.
b) Write the null and alternative hypotheses.
c) In this context, explain what would happen if the professor makes a Type I error.
d) In this context, explain what would happen if the professor makes a Type II error.
e) What is meant by the power of this test?