Question: Given the following (generic) population regression model: Yi = 0 + 1X1,i + 2X2,i + 3X3,i + ui, i = 1, ..., n () Transform

Given the following (generic) population regression model:

Yi = 0 + 1X1,i + 2X2,i + 3X3,i + ui, i = 1, ..., n ()

Transform the regression to allow you to easily test the null hypothesis that 1 + 3 = 1. State the new null hypothesis associated to this transformed regression.

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