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Estimating the following model

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Say you are estimating the following model: Sleep (hours pernight) = Bo + total hours worked per day + age + education. Consider the H0 for a test of heteroscedasticity: Var(u|total hoursworked, age, education)=constant. For this test discuss what a TypeI versus Type II Error would be. Please give an answer specific tothis model! Which error would you consider "more serious?" Explainwhy using this specific model - do not generalize.

Reference no: EM131191896

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