Consider a regression model that uses 48 observations. Let ei denote the residuals from the fitted regression and y`i be the in-sample predicted values of the dependent variable. The least squares regression of e2i on y`i has coefficient of determination 0.032. What can you conclude from this finding?
Answer to relevant QuestionsThe data file Economic Activity contains data for 50 states in the United States. Develop a multiple regression model to predict total retail sales for auto parts and dealers. Find two or three of the best predictor ...Suppose that a regression was run with three independent variables and 30 observations. The Durbin Watson statistic was 0.50. Test the hypothesis that there was no autocorrelation. Compute an estimate of the autocorrelation ...The omission of an important independent variable from a time-series regression model can result in the appearance of auto correlated errors. In Example 13.7 we estimated the model yt = β0 + β1x1t + εt relating profit ...An attempt was made to construct a regression model explaining student scores in intermediate economics courses (Waldauer, Duggal, and Williams 1992). The population regression model assumed that Y = total student score in ...The data file Japan Imports shows 35 quarterly observations from Japan on quantity of imports (y), ratio of import prices to domestic prices (x1), and real gross national product (x2). Estimate by least squares the following ...
Post your question