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Brief discussion on the application of type I error in our real life

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Someone tells you something and you need to decide if you should believe him or her. Are you more likely to be worried about committing a Type I error or a Type II error?

Does it depend on the person?

Would you react differently if the information was coming from your boss, your spouse, your child, your teacher, or a store clerk?

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Solution Summary

The solution gives brief discussion on the application of type I error in our real life.

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I would worry about committing a type I error. Type I error means that we reject null hypothesis but in fact it is true. In our case, what someone tells me may be correct but we decide not to ...

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