Question: Consider the earning data underlying the regression in Table 4.1 and available on the Springer web site as EARN.ASC. (a) Apply Whites test for heteroskedasticity

Consider the earning data underlying the regression in Table 4.1 and available on the Springer web site as EARN.ASC.

(a) Apply White’s test for heteroskedasticity to the regression residuals.

(b) Compute White’s heteroskedasticity-consistent standard errors.

(c) Test the least squares residuals for normality using the Jarque-Bera test.

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