If the error variable $\varepsilon$ is normally distributed, the test statistic for testing $H _ { 0 } : \beta _ { 1 } = 0$ in a simple linear regression follows the Student t-distribution with n - 1 degrees of freedom.

Question

Quizplus · Accepted Answer

In a simple linear regression, the test statistic for $H_0: \beta_1 = 0$ follows a Student's t-distribution with $n - 2$ degrees of freedom, not $n - 1$.

If the Error Variable ε\varepsilonε Is Normally Distributed, the Test Statistic for Testing

If the Error Variable $\varepsilon$ Is Normally Distributed, the Test Statistic for Testing