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SCENARIO 13-18
A logistic regression model was estimated in order to predict the probability that a randomly chosen university or college would be a private university using information on mean total Scholastic Aptitude Test score (SAT) at the university or college and whether the TOEFL criterion is at least 90 (Toefl90 = 1 if yes, 0 otherwise.) The dependent variable, Y, is school type (Type = 1 if private and 0 otherwise).There are 80 universities in the sample.
The PHStat output is given below:
Binary Logistic Regression
-Referring to SCENARIO 13-18, what is the p-value of the test statistic when testing whetherToefl90 makes a significant contribution to the model in the presence of SAT?
Diversified Investor
An investor who spreads their investment across various assets to minimize risk.
Risk Premium
The additional return an investor demands for taking on a higher risk compared to a risk-free investment.
Non-diversifiable Risk
The part of an investment's risk that cannot be eliminated through diversification, pertaining to wider market or economic factors.
Systematic Risk
The peril present throughout an entire market or a portion of the market that cannot be alleviated by spreading investments.
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