Question 366687
Significance levels differ among industries because different industries hold different quality standards.  The null hypothesis is more likely to be rejected at 0.10 significance level.  As the significance level increases to α = 0.10 from α = 0.01, type I error is more likely to occur (that is, it is more likely that we reject a statement that may actually be true.)  To reduce the likelihood of a type I error, continuous and periodic sampling within the industry is suggested (quality control) using as large (but manageble)a size as possible.