In Bivariate Regression, If the F Value Is Not Significant

question 68

Multiple Choice

In bivariate regression, if the F value is not significant (say .051) , then:

• A) we accept the null hypothesis that a straight-line model fits our data
• B) we reject the null hypothesis that a straight-line model does not fit our data
• C) we abandon our efforts to analyze the two variables
• D) check for outliers
• E) rerun the regression

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Definitions:

Diminishing Returns

An economic principle that states as investment in a particular area increases, the rate of profit from that investment, after a certain point, cannot increase proportionally.

Negative Returns

A situation in which additional investment or effort results in a decrease in output or performance, contrary to typical expectations for growth or improvement.

Marginal Cost

The additional expenditure involved in producing one further unit of a product or service.

Fixed Cost

Costs that do not vary with the level of production or sales, such as rent, salaries, and insurance expenses.