A Company Manufacturing Computer Chips Finds That 8% of All

question 90

Essay

A company manufacturing computer chips finds that 8% of all chips manufactured are defective. Management is concerned
that employee inattention is partially responsible for the high defect rate. In an effort to decrease the percentage of defective
chips, management decides to offer incentives to employees who have lower defect rates on their shifts. The incentive
program is instituted for one month. If successful, the company will continue with the incentive program.
-What level of significance did management use?

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Definitions:

Body Dysmorphic Disorder

A mental health condition characterized by an obsessive focus on a perceived flaw in physical appearance.

Cognitive Biases

Systematic patterns of deviation from norm or rationality in judgment, wherein inferences about other people and situations may be drawn in an illogical fashion.

Stress-Inoculation Therapy

A form of cognitive-behavior therapy that focuses on developing skills that allow the individual to cope with stress.

Exposure Therapy

A psychological treatment that helps individuals confront their fears by gradual and repeated exposure to the feared object or situation.