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ECO 301: Milestone One

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(a) H 0

: βp = 0; H A

; βp ¹ 0 Do not reject at the 5% level (P-value

> 0.05)

GDP:

(b) H 0

: βgdp = 0; H A

; βgdp ¹ 0 Reject at the 5% level (P-value < 0.05)

POP:

: βpop = 0; H A

; βpop ¹ 0 Reject at the 5% level (P-value < 0.05)

Perform an f-test.

H 0

: βp = βgdp = βpop = 0;

H A

: at least one β is not equal to zero

below.

Use the analysis of variance (ANOVA) information given in the table

ANOVA

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(a) H 0 : βp = 0; H A ; βp ¹ 0 Do not reject at the 5% level (P-value > 0.05) GDP: (b) H 0 : βgdp = 0; H A ; βgdp ¹ 0 Reject at the 5% level (P-value < 0.05) POP: (c) H 0 : βpop = 0; H A ; βpop ¹ 0 Reject at the 5% level (P-value < 0.05) Perform an f-test. H 0 : βp = βgdp = βpop = 0; H A : at least one β is not equal to zero below. Use the analysis of variance (ANOVA) information given in the table ANOVA

Significa df SS MS F nce F Regressi 368163 122721 59.551 4.83988E- on 3 .7 .2 15 16 96856. 2060.7 Residual 47 2 7 465019 Total 50 .9 Table 2: F-Test Analysis F = 59.5515 Critical value Critical F-Value Calculator: http://www.danielsoper.com/statcalc3/calc.aspx?id=4

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ECO 301: Milestone One

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