Consider the zero intercept model given by yi = 1xi + i , (i = 1, 2, , n) where the i

Consider the zero intercept model given by yi = β1xi + εi , (i = 1, 2, · · · , n) where the εi ’s are independent normal variables with constant variance σ 2 . Show that the 100(1 − α)% confidence interval on E(y|x0) is given by b1x0 + tα/2, n−1s s x 2 P 0 n i=1 x 2 i where s = vuutXn i=1 (yi − b1xi)/(n − 1) and b1 = Pn i=1 P yixi n i=1 x 2 i .