Perform an f test of the restriction

Reference no: EM131132418

The first regression shows the result of regressing LGFDHO, the logarithm of annual household expenditure on food eaten at home, on LGEXP, the logarithm of total annual household expenditure, and LGSIZE, the logarithm of the number of persons in the household, using a sample of 868 households in the 1995 Consumer Expenditure Survey. In the second regression, LGFDHOPC, the logarithm of food expenditure per capita (FDHO/SIZE), is regressed on LGEXPPC, the logarithm of total expenditure per capita (EXP/SIZE). In the third regression LGFDHOPC is regressed on LGEXPPC and LGSIZE.

1. Explain why the second model is a restricted version of the first, stating the restriction.

2. Perform an F test of the restriction.

3. Perform a t test of the restriction.

4. Summarize your conclusions from the analysis of the regression results.

Reference no: EM131132418

Questions Cloud

Explore the advantages of using ad for sso access : Some businesses and organizations use Active Directory (AD) to provide SSO access to the enterprise. Analyze the advantages and disadvantages of using AD for SSO access.

Write a short report advising the social scientist : X was positively correlated with Z in both samples. Having carried out the appropriate statistical tests, write a short report advising the social scientist how to interpret these results.

Write assignment on topic ideas and opportunities : Describe 3 trends that you've noticed, and explain how each one might generate a small business opportunity.- Make a list of at least 5 business ideas that interest you.

Analyze leadership style that lieutenant colonel daniel : Analyze the leadership style that Lieutenant Colonel Daniel exhibited as he took center stage to lead this complex military operation. Provide three (3) examples of his leadership actions and behavior, assessing the pros and cons in each example y..

Perform an f test of the restriction : Explain why the second model is a restricted version of the first, stating the restriction.

Compare symmetric encryption to asymmetric encryption : Compare and contrast symmetric encryption to asymmetric encryption. PKI uses digital certificates to encrypt / decrypt data. Analyze the process of encrypting and decrypting data using a digital certificate.

How would she go about proving a violation of her rights : Do you feel that your coworker has a valid claim against the medical office? Why or why not? What steps, if any, do you feel she should take next to address this situation?

How many copies should he order from the publisher : Suppose that the Inn at Penn uses the newsvendor model to set the protection level optimally. Which of the following changes in the environment would be the best argument for lowering protection levels?

Analyze most commonly overlooked software development risks : Analyze the most commonly overlooked software development risks within an organization you work for, or with which you are familiar. In your analysis, explain what these risks are and how they affect, or can affect, a software project.

User Account

All Pages