der the joint hypothesis Ho B2 = 0, B3 = 0 %3D The results of the restricted model are: Source | df Number of obs, = ES 1, Prob > F R-squared MS 392 390) - 878.83 Model Jt 1 16497.7598 390 18.7723941 7598 0.0000 %3D Residual EAWEE 0.6926 %3D Adi R-squared aulu6918 Total Lm23818.9935. 391 60.9181419 Root MSE - 4.3327 Coef. Std. Err. I P>|t| (95% Conf. Interval] wat. cons -.0076473 46.21652 .000258 .7986725 -29.65 0.000 57.87 0.000 -.0081545 44.64628 -.0071402 47.78677 Testing this hypothesis at 5% critical level, we conclude that:

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Consider the joint hypothesis Ho : B2 = 0, 63 = 0
The results of the restricted model are:
Source I
df
Number of obs, =
EC 1,
Prob > F
R-squared
Adi R-squared ul6918
Root MSE
MS
Model Ju16497 7598
Residual E EYA
392
390) - 878.83
0.0000
0.6926
1
16497.7598
%3D
390 18.7723941
Total 23818.9935.
391 60.9181419
= 4.3327
Coef.
Std. Err.
P>|t|
[95% Conf. Interval]
wat.
0076473
46.21652
.000258
.7986725
-29.65
57.87
0.000
0.000
0081545
44.64628
0071402
47.78677
cons
Testing this hypothesis at 5% critical level, we conclude that:
The number of cylinders and engine size are jointly insignificant because the F-
stat is greater than the critical value.
The number of cylinders and engine size are jointly significant because the F-stat
is smaller than the critical value.
The number of cylinders and engine size are jointly significant because the F-stat
is greater than the critical value.
The number of cylinders and engine size are jointly insignificant because the F-
stat is smaller than the critical value.
Transcribed Image Text:Consider the joint hypothesis Ho : B2 = 0, 63 = 0 The results of the restricted model are: Source I df Number of obs, = EC 1, Prob > F R-squared Adi R-squared ul6918 Root MSE MS Model Ju16497 7598 Residual E EYA 392 390) - 878.83 0.0000 0.6926 1 16497.7598 %3D 390 18.7723941 Total 23818.9935. 391 60.9181419 = 4.3327 Coef. Std. Err. P>|t| [95% Conf. Interval] wat. 0076473 46.21652 .000258 .7986725 -29.65 57.87 0.000 0.000 0081545 44.64628 0071402 47.78677 cons Testing this hypothesis at 5% critical level, we conclude that: The number of cylinders and engine size are jointly insignificant because the F- stat is greater than the critical value. The number of cylinders and engine size are jointly significant because the F-stat is smaller than the critical value. The number of cylinders and engine size are jointly significant because the F-stat is greater than the critical value. The number of cylinders and engine size are jointly insignificant because the F- stat is smaller than the critical value.
Consider a model of fuel efficiency of cars that relates miles per gallon
(mpg) to the number of cylinders (cyl), engine size (eng) and weight (wgt):
mpg = B, + B2cyl + Bzeng + B4wgt + e
%3D
Note: Miles per gallon (mpg), a measure of fuel efficiency, is the average number
of miles a car can travel on one gallon of fuel. Cars that are fuel efficient can
achieve higher miles per gallon. Cars that have a larger number of cylinders
usually have larger engines and are heavier.
The estimated results are below:
Source |
SS
df
MS
Number of obs
EC 3,
Prob > F
R-squared
Adj R-squared ab970
Root MSE
392
388) = 300.76
0.0000
0.6993
Model J16656.4443
Residual 7162.54916
5552.1481
388 18.4601782
Total J23818.9935
391
60.9181419
4.2965
Coef.
Std. Err.
P>|t|
[95% Conf. Interval]
syl
eng
wat
_cons
.2677968
-.012674
-.0057079
44.37096
.4130673
.0082501
0007139
1.480685
-0.65
-1.54
-8.00
29.97
0.517
0.125
0.000
0.000
-1.079927
.0288944
0071115
41.45979
.5443336
.0035465
.0043043
47.28213
Consider the joint hypothesis Ho: 2 = 0, 63 = 0
Transcribed Image Text:Consider a model of fuel efficiency of cars that relates miles per gallon (mpg) to the number of cylinders (cyl), engine size (eng) and weight (wgt): mpg = B, + B2cyl + Bzeng + B4wgt + e %3D Note: Miles per gallon (mpg), a measure of fuel efficiency, is the average number of miles a car can travel on one gallon of fuel. Cars that are fuel efficient can achieve higher miles per gallon. Cars that have a larger number of cylinders usually have larger engines and are heavier. The estimated results are below: Source | SS df MS Number of obs EC 3, Prob > F R-squared Adj R-squared ab970 Root MSE 392 388) = 300.76 0.0000 0.6993 Model J16656.4443 Residual 7162.54916 5552.1481 388 18.4601782 Total J23818.9935 391 60.9181419 4.2965 Coef. Std. Err. P>|t| [95% Conf. Interval] syl eng wat _cons .2677968 -.012674 -.0057079 44.37096 .4130673 .0082501 0007139 1.480685 -0.65 -1.54 -8.00 29.97 0.517 0.125 0.000 0.000 -1.079927 .0288944 0071115 41.45979 .5443336 .0035465 .0043043 47.28213 Consider the joint hypothesis Ho: 2 = 0, 63 = 0
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