Tests for Adverse Reactions to a New Drug Yielded the Results

question 5

Multiple Choice

Tests for adverse reactions to a new drug yielded the results given in the table.The data will be analyzed to determine if they provide sufficient evidence to conclude that an association exists between the treatment (drug or placebo) and the reaction (whether or not headaches were experienced) .
$\begin{array}{|l|l|l|}\hline & \text { Drug } & \text { Placebo } \\\hline \text { Headaches } & 11 & 7 \\\hline \text { No headaches } & 73 & 91 \\\hline\end{array}$

• A) \(H _ { 0 }\) : The occurrence of headaches is dependent upon the drug.
• \(H _ { A }\) : The occurrence of headaches is not dependent upon the drug.
• B) \(H _ { 0 }\) : The distribution of headaches is different for the drug and the placebo.
• \(H _ { A }\) : The distribution of headaches is the same for the drug and the placebo.
• C) \(H _ { 0 }\) : The drug is independent from the occurrence of headaches.
• \(H _ { A }\) : The drug is not independent from the occurrence of headaches.
• D) \(H _ { 0 }\) : There is a relationship between the drug and occurrence of headaches.
• \(H _ { A }\) : There is no relationship between the drug and occurrence of headaches.
• E) \(H _ { 0 }\) : The drug is related to the occurrence of headaches.
• \(H _ { A }\) : The drug is not related to the occurrence of headaches.

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Definitions:

Savings and Loan Debacle

A financial crisis in the 1980s and 1990s involving the collapse of savings and loan associations due to risky business practices and regulatory failures.

Risky Real Estate Loans

Loans given for real estate purchases that carry a higher risk of default, often due to the borrower's credit status or the nature of the property.

Taxpayers

Individuals or entities that are required to pay taxes to a government body, typically based on income, property value, or consumption.

Commercial Banks

Financial institutions that offer a wide range of services such as accepting deposits, providing loans, and other banking services to the public.