Chapter 12, Problem 5PT

To determine

To find: the t statistic value for this test on the basis of given information.

Answer to Problem 5PT

t = -2.44

Explanation of Solution

Given:

  

  $\begin{array}{l}b=-4139198\\ S{E}_b=1698371\\ H_0:\beta =0\\ H_1:\beta <0\end{array}$

Formula used:

Test statistics

  $t=\frac{b-{\beta }_0}{S{E}_b}$

Calculation:

  $\begin{array}{c}t=\frac{b-{\beta }_0}{S{E}_b}\\ =\frac{-4139198-0}{1698371}\\ =-2.437\\ =-2.44\end{array}$

Hence, the correct option is (d)