Question: Stop signs. Highway safety engineers test new road signs, hoping that increased reflectivity will make them more visible to drivers. Volunteers drive through a test course with several of the new- and old-style signs and rate which kind shows up the best.

a) Is this a one-tailed or a two-tailed test? Why?

b) In this context, what would a Type I error be?

c) In this context, what would a Type II error be?

d) In this context, describe what is meant by the power of the test.

e) If the hypothesis is tested at the 1% level of significance instead of 5%, how will this affect the power of the test?

f) The engineers hoped to base their decision on the reactions of 50 drivers, but time and budget constraints may force them to cut back to 20. How would this affect the power of the test? Explain.