Question: EXERCISE 3 Suppose in the model yi 2 g 1 1asz- + 67;, the measurements 3:2- were in inches and we would like to write


EXERCISE 3 Suppose in the model yi 2 g 1 1asz- + 67;, the measurements 3:2- were in inches and we would like to write the model in centimeters, say, 21-. If one inch is equal to c centimeters (e is known), we can write the above model as follows yi =3 +5'fzz +52; a. Suppose BO and 31 are the least squares estimates of g and 51 of the rst model. Find the estimates of 5;; and 63" in terms of g and l. b. Show that the value of R2 remains the same for both models
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