Discuss the consequences of setting significance levels either too strict (e.g. α = 0.01) or too lenient (e.g. α = 0.10) for psychological research and for real-world decision making. In your answer evaluate the trade-offs between Type I and Type II errors, the impact on scientific progress and replication, and give applied examples.
Discuss the consequences of choosing significance levels that are too strict or too lenient, evaluating trade-offs between Type I and Type II errors, impact on science and real-world decisions; include applied examples.
(Total for Question 12 is 8 marks)