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Problem 1: Drugs that help reduce pains always have negative sign effects due to chemicals. Sometimes pains are due to psychological thinking. A placebo is a fake drug that makes you think you are taking a real drug, except that it has no chemical in it. A doctor, who specializes in treating headaches, is wondering whether he should prescribe the new, and costly placebo to help his patients with chronic headache. If he has convincing evidence that more than 25% of the patients feel better when taking this placebo, then he would prescribe it. Otherwise, he would not. To test it, he randomly prescribed it to 5D patients. 14 of them said they feel better.
a) Is there some evidence to suggest that the placebo works? Explain.
b) Use the Fcur-Step-F'rocedure to perform a signi?cant test at alpha value: 0.10.
c] Based on the conclusion in part b}, should the doctor continue to prescribe this placebo to his patients? Explain.
d} What type of error did the doctor make in part c]? Explain.
e) 1What is one consequence for this mistake?
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