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Q6: Y i = 0 + 1 X 1i + 2 X 2i + 3 X 3i + 4 X 4i +u i Data for this regression model are linked:
Data for this regression model are linked:
Estimate the model using the OLS method.
- Construct a 90% confidence interval for β3.
- Using the critical value method and a significance level of 5%, test H0:β4=1 against H1:β4≠1.
Show all your working, including the output for the estimated model. For the hypothesis test, in your answer you should state the null and alternative hypotheses, the significance level, the formula for the test statistic, the PDF of the test statistic under the null hypothesis, the value of the test statistic, the critical value and your conclusion.