QUESTION 7 A researcher has estimated a linear model to study the effect of weekly household...

 

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QUESTION 7 A researcher has estimated a linear model to study the effect of weekly household income x, (in $100) on weekly household expenditure on i food y, (in $). Using a sample of size N = 40, she found that i y = 83.42 + 10.21x,, R²=0.384 i' (43.41) (2.09) N and Σ(y₁ - y)²=5 2=500,000 and the sample mean of x is 19.605. Consider a hypothesis testing against i Ho: the slope coefficient is 3.94. ✓ For this testing, the t-ratio is: V Therefore we, at the 5% significance level, a. cannot do anything unless the significance level is 10%. b.5 C. 4 d. accept H1. e. 4.89 f. reject Ho. 8. re-estimate the regression model using different data. h.2 i. 3 j. do not reject Ho. QUESTION 7 A researcher has estimated a linear model to study the effect of weekly household income x, (in $100) on weekly household expenditure on i food y, (in $). Using a sample of size N = 40, she found that i y = 83.42 + 10.21x,, R²=0.384 i' (43.41) (2.09) N and Σ(y₁ - y)²=5 2=500,000 and the sample mean of x is 19.605. Consider a hypothesis testing against i Ho: the slope coefficient is 3.94. ✓ For this testing, the t-ratio is: V Therefore we, at the 5% significance level, a. cannot do anything unless the significance level is 10%. b.5 C. 4 d. accept H1. e. 4.89 f. reject Ho. 8. re-estimate the regression model using different data. h.2 i. 3 j. do not reject Ho.

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