Let’s suppose that you have the following specification: yt=B0+B1xt+ut where ut might be autocorrelated: ut=ρut-1+vt . Having obtained the estimates, b0 and b1 for B0 and B1 , you calculate the predicted values and residuals. You find that t=2n(et-et-1)2=20 and t=1n(et)2=200 . What is the Durbin Watson test statistic? What is ρ ?
Let’s suppose that you have the following specification: yt=B0+B1xt+ut where ut might be autocorrelated: ut=ρut-1+vt . Having obtained the estimates, b0 and b1 for B0 and B1 , you calculate the predicted values and residuals. You find that t=2n(et-et-1)2=20 and t=1n(et)2=200 . What is the Durbin Watson test statistic? What is ρ ?
Functions and Change: A Modeling Approach to College Algebra (MindTap Course List)
6th Edition
ISBN:9781337111348
Author:Bruce Crauder, Benny Evans, Alan Noell
Publisher:Bruce Crauder, Benny Evans, Alan Noell
Chapter5: A Survey Of Other Common Functions
Section5.6: Higher-degree Polynomials And Rational Functions
Problem 1TU: The following fictitious table shows kryptonite price, in dollar per gram, t years after 2006. t=...
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- Let’s suppose that you have the following specification:
yt=B0+B1xt+ut
where ut might be autocorrelated: ut=ρut-1+vt . Having obtained the estimates, b0 and b1 for B0 and B1 , you calculate the predicted values and residuals. You find that t=2n(et-et-1)2=20 and t=1n(et)2=200 .
- What is the Durbin Watson test statistic?
- What is ρ ?
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