Chapter 12, Problem T12.3SPT

To determine

To find out inference about the slope ${\beta }_1$ of a least-squares regression line is biased on which of the following distributions.

Answer to Problem T12.3SPT

Option (d) is the correct option.

Explanation of Solution

We have to find out that inference about the slope ${\beta }_1$ of a least-squares regression line is biased on which of the following distributions. Thus, in order to determine the least square regression line we need to estimate two parameters, the y-intercept and the slope.

The corresponding distribution is then the t-distribution with the degrees of freedom equal to the sample size $n$ decreased by the number of estimated parameters. Thus, we have,

  $df=n-2$

Therefore, option (d) is the correct option.