Question: The result below was obtained by OLS for the model sat = P. + B,hsize + B,hsize2+ B,female + BAblack + B,(female. black) + u.



The result below was obtained by OLS for the model sat = P. + B,hsize + B,hsize2+ B,female + BAblack + B,(female. black) + u. There are 4,137 students in the dataset. If the output is not visible on your screen, please click on these links for a copy: linkl , link2 . Two links were provided in case one of them does not work. regress sat hsize hsize2 female black female black Source | SS df MS Number of obs = 4 , 137 F (5, 4131) = 77 . 52 Model | 6894724.95 5 1378944 . 99 Prob > F = 0 . 0000 Residual | 73479121 .4 4, 131 17787 . 248 R-squared = 0 . 0858 Adj R-squared 0 . 0847 Total | 80373846.3 4, 136 19432 . 7481 Root MSE = 133. 37\festat imtest, white White's test HO: Homoskedasticity Ha: Unrestricted heteroskedasticity chi2 (13) = 39.09 Prob > chi2 = 0. 0002 Cameron & Trivedi's decomposition of IM-test Source | chi2 df P -+ -. Heteroskedasticity | 39. 09 13 0 . 0002 Skewness - 17.21 5 0 . 0041 Kurtosis 0. 37 1 0 . 5437 + - Total | 56. 67 19 0 . 0000 vii. What are the potential consequences of heteroskedasticity for OLS
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
