ECON 104 Lecture 26: 26
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Computation isn"t easy but you can take regression and add/subtract beta 2 x 1 from each term. Change data frame a little bit and name new variable x3 -> do regression on x1 and x3. Coefficient in from of x1 = beta 1 - beta 2. Look at t stat for beta 1 - beta 2 -> if t stat _____ Talk about how regression tables look like and what they look like. Need to know this for mock test for next class! Each regression has a number underneath -> regressor was included in regression. There was an intercept and str for 1st regression. > if all ols assumptions satisfied, change in x1 calls a 2. 28 decline in test scores. > if all ols assumptions satisfied, change in x1 results in a 1. 01 decline in test scores. Se can be inferred by numbers inside parentheses are positive.
