The Logic Behind the T-Test for the Individual Significance of the Estimated

question 9

Multiple Choice

The logic behind the t-test for the individual significance of the estimated slope coefficient $\hat { \beta } _ { 1 }$
Is that if the estimated slope coefficient is likely to be different from 0,then

• A)the estimated slope coefficient should be large.
• B)the estimated standard error should be large.
• C)the ratio of the estimated slope coefficient to the standard error of the estimated slope coefficient should be small.
• D)the ratio of the estimated slope coefficient to the standard error of the estimated slope coefficient should be large.

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Definitions:

Federalist Faction

A political group in early United States history that supported a strong federal government and the ratification of the Constitution, contrasting with the Democratic-Republicans.

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A group or party within a larger political context that advocates for a republic form of government, often emphasizing values such as liberty, democracy, and the rule of law.