In the regression model Y = a + bX + cZ , a test of the hypothesis that parameter c equals zero is
A. an F-test.
B. a zero-statistic.
C. a Z-test.
D. a t-test.
E. an R2-test.
Answer: D
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Which of the following is ALWAYS true for a profit-maximizing single-price monopolist?
A) P = MC B) P = MR C) MR = MC D) MC = ATC
Money serves the following function(s):
(a) Medium of exchange (b) Store of value (c) Unit of account (d) All of the above
Inflation is an increase in:
a. prices of all products in the economy. b. homes, autos and basic resources. c. the general price level of products. d. none of these.
The natural rate of unemployment
a. is due to cyclical business conditions. b. results from normal dynamic changes given the institutional arrangements of the economy. c. results from both frictional and cyclical economic conditions. d. is present when the economy is at the peak of an economic boom.