After estimating the regression using 10 observations, you obtained the following results:
$$Q = \begin{array} { l l c }
70 & - & 0.5 P \
( 25 ) & & ( 0.22 )
\end{array} \quad \begin{array} { c }
0.9 I \
( 0.32 )
\end{array}$$ Compute the t-statistics for your estimates for price (P) and income (i). Can we reject the null hypothesis at the 5% significance level?

Question

After estimating the regression using 10 observations, you obtained the following results:
 $$Q = \begin{array} { l l c } 
70 & - & 0.5 P \
( 25 ) & & ( 0.22 )
\end{array} \quad \begin{array} { c } 
0.9 I \
( 0.32 )
\end{array}$$ Compute the t-statistics for your estimates for price (P) and income (i). Can we reject the null hypothesis at the 5% significance level?

Quizplus · Accepted Answer

The Answer of After estimating the regression using 10 observations, you obtained the following results:
 $$Q = \begin{array} { l l c } 
70 & - & 0.5 P \
( 25 ) & & ( 0.22 )
\end{array} \quad \begin{array} { c } 
0.9 I \
( 0.32 )
\end{array}$$ Compute the t-statistics for your estimates for price (P) and income (i). Can we reject the null hypothesis at the 5% significance level?

After Estimating the Regression Using 10 Observations, You Obtained the Following