type of household
1998
Upper
Lower
1999
Upper
Lower
Overlap:
median income
90% CI +/-
median income
90% CI +/-
i. The t-statistic is a ratio of the departure of an estimated parameter from its notional value and its standard error. In this case, the estimated coefficient of error is 0.262, and the standard error is 0.038, so the t-statistic is 6.89.
ii. Since the sample size is so large (450), the confidence interval of 95% is 1.96
iii. For the female coefficient of error of 0.262, because the t-statistic is so large, ** could be used, because ? For t-distributions is 2.576 at the 99% interval, well below 6.89.
b)
i. unknown
ii. unknown iii. unknown
iv. Estimates of coefficients from within a regression model are generally not independent of one another, so cov (?j, k,)?0. In such cases, information on the covariance between ?j and ?k must be taken into account when calculating the standard error of the difference or confidence intervals. Covariance is not given, so no estimation of statistical significance can be made.
c)
i. One model deals with verbal SAT scores, another deals with ethnicity, and another deals with gender. They are laid out by model.
ii. Unknown.
iii. Estimates of coefficients from within a regression model are generally not independent of one another, so cov (?j, k,)?0. In such cases, information on the covariance between ?j and ?k must be taken into account when calculating the standard error of the difference or confidence intervals. Covariance is not given, so no formal estimation of statistical significance can...
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