Question of the Week: Level 1 – Quantitative Methods

The correct answer is Option B.

The probability of a Type I error in testing a hypothesis is denoted by the Greek letter alpha, α.

The probability of a Type 2 error in testing a hypothesis is denoted by the Greek letter beta, β.

Option Β is difficult to quantify and it does not = 1 – α.

Finally, with respect to Option C, the only way to reduce the probabilities of both types of errors simultaneously is to increase the sample size, n.