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Suppose That in the Course of Testing Whether Age

question 18

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Figure
Suppose that in the course of testing whether Age and Family Size are jointly significant,you estimate the results in Figure 6.3.  SUMMARY OUTPUT  Regrestion Starittict  Muftiple R. 0.070494476 R Sequrt 0.004969471 Adigated R. Square 0.001879314 Standard Esror 4.819403326 Observations 970\begin{array}{lc}\text { SUMMARY OUTPUT }\\\\\\\hline\text { Regrestion Starittict } & \\\hline \text { Muftiple R. } & 0.070494476 \\\text { R Sequrt } & 0.004969471 \\\text { Adigated R. Square } & 0.001879314 \\\text { Standard Esror } & 4.819403326 \\\text { Observations } & 970 \\\hline\end{array}



 ANOVA dfS5MSF Signifieance F Regranion 3112.056601237.35220041.6081614420.185858614 Reaidual 96622436.9423723.22664841 Total 96922548.99897\begin{array}{l}\text { ANOVA }\\\begin{array}{lccccc}\hline & d f & S 5 & M S & F & \text { Signifieance } F \\\hline \text { Regranion } & 3 & 112.0566012 & 37.3522004 & 1.608161442 & 0.185858614 \\\text { Reaidual } & 966 & 22436.94237 & 23.22664841 & & \\\text { Total } & 969 & 22548.99897 & & & \\\hline\end{array}\end{array}


 Coeffeientt  Srandard Error  t Stat  P-value  Lower 9596 Upper 9596 Intercept 4.0499209821.0421073413.8862800640.0001087392.0048658446.094976119 Age 0.0156269840.0103654971.5073961190.1319848780.0047145040.035968471 Family Size 0.0930934630.0846023831.1003645520.2714474420.2591191030.072932177 Years of Education 0.0056420750.064745250.0871426850.9305761570.1214154760.132699626\begin{array}{lcccccc}\hline & \text { Coeffeientt } & \text { Srandard Error } & \text { t Stat } & \text { P-value } & \text { Lower } 9596 & \text { Upper } 9596 \\\hline \text { Intercept } & 4.049920982 & 1.042107341 & 3.886280064 & 0.000108739 & 2.004865844 & 6.094976119 \\\text { Age } & 0.015626984 & 0.010365497 & 1.507396119 & 0.131984878 & -0.004714504 & 0.035968471 \\\text { Family Size } & -0.093093463 & 0.084602383 & -1.100364552 & 0.271447442 & -0.259119103 & 0.072932177 \\\text { Years of Education } & 0.005642075 & 0.06474525 & 0.087142685 & 0.930576157 & -0.121415476 & 0.132699626 \\\hline\end{array}

 SUMALARY OUTPUT \text { SUMALARY OUTPUT }

 Regrestion Staritticz  Multiple R. 0.005034034 R Square 2.53415E05 Adjuted R. Square 0.00100769 Standard Error 4.826368211 Observations 970\begin{array}{lc}\hline \text { Regrestion Staritticz } & \\\hline \text { Multiple R. } & 0.005034034 \\\text { R Square } & 2.53415 \mathrm{E}-05 \\\text { Adjuted R. Square } & -0.00100769 \\\text { Standard Error } & 4.826368211 \\\text { Observations } & 970 \\\hline\end{array}0.1151706360.115170636


 ANOVA dfSSMSF Signffeance F Regresion 10.5714253850.5714253850.0245311910.875573561 Reiidual 96822548.4275423.29383011 Total 96922548.99897\begin{array}{l}\text { ANOVA }\\\begin{array}{lccccc}\hline & d f & S S & M S & F & \text { Signffeance } F \\\hline \text { Regresion } & 1 & 0.571425385 & 0.571425385 & 0.024531191 & 0.875573561 \\\text { Reiidual } & 968 & 22548.42754 & 23.29383011 & & \\\text { Total } & 969 & 22548.99897 & & & \\\hline\end{array}\end{array}

 Coefficienty  Standard Emor  t Star  P-value  Lower 9596 Upper 9596 Intercept 4.2888256450.7329662165.8513278666.66867E092.8504398065.727211483 Years of Education 0.0098505860.0628930640.1566243610.8755735610.1135718730.133273045 Figure 6.3\begin{array}{l}\begin{array}{lcccccc}\hline & \text { Coefficienty } & \text { Standard Emor } & \text { t Star } & \text { P-value } & \text { Lower } 9596 & \text { Upper } 9596 \\\hline \text { Intercept } & 4.288825645 & 0.732966216 & 5.851327866 & 6.66867 E-09 & 2.850439806 & 5.727211483 \\\text { Years of Education } & 0.009850586 & 0.062893064 & 0.156624361 & 0.875573561 & -0.113571873 & 0.133273045 \\\hline\end{array}\\\text { Figure } 6.3\end{array}
-Chow tests are based on comparing the

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Definitions:

Behavior

The actions or reactions of an organism, typically in response to its environment.

Cognitive Dissonance

The mental discomfort experienced by a person holding two or more contradictory beliefs, values, or ideas.

Dissonance

A psychological or emotional state of tension resulting from conflicting attitudes, beliefs, or behaviors.

Festinger

Leon Festinger, an American social psychologist known for his theory of cognitive dissonance, which describes the discomfort experienced when holding two or more conflicting cognitions.

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