Show that Eq (3 5 14) in fact measures the coefficient of determination Apply the definition of r given in Eq (3 5 13) and recall that Icirc pound y i y Igrave i Icirc pound (y Igrave i u Igrave i )y Igrave i Icirc pound y Igrave i 2, and remember Eq (3 5 6) Equation (3 5 13) Equation (3 5 6) xy (x...

Show that Eq. (3.5.14) in fact measures the coefficient of determination. Apply the definition of r given

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Show that Eq. (3.5.14) in fact measures the coefficient of determination.

Apply the definition of r given in Eq. (3.5.13) and recall that Î£y_iyÌ‚_i = Î£(yÌ‚_i + uÌ‚_i)yÌ‚_i = Î£ yÌ‚_i2, and remember Eq. (3.5.6).

Equation (3.5.13)

Σxy / (Σx?) (ΣΥ?) η ΣΧΥ-(ΣΧ)(Σ Υ) [μΣΧ - (ΣΧ);]μ ΣΥ - (Σ] || ||

Equation (3.5.6)

Σ: .2 R? = Σ ? ||

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Basic Econometrics

ISBN: 978-0073375779

5th edition

Authors: Damodar N. Gujrati, Dawn C. Porter

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Question Posted: Apr 30, 2018 03:04 AM

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Show that Eq. (3.5.14) in fact measures the coefficient of determination. Apply the definition of r given

Question:

Σxy / (Σx?) (ΣΥ?) η ΣΧΥ-(ΣΧ)(Σ Υ) [μΣΧ - (ΣΧ);]μ ΣΥ - (Σ] || || Σ: .2 R? = Σ ? ||

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Basic Econometrics

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