Your Textbook Presented You with the Following Regression Output $\widehat {\text { TestScore }}$

question 7

Essay

Your textbook presented you with the following regression output: $\widehat {\text { TestScore }}$ = 698.9 - 2.28 × STR
n = 420, R² = 0.051, SER = 18.6
(a)How would the slope coefficient change, if you decided one day to measure testscores in 100s, i.e., a test score of 650 became 6.5? Would this have an effect on your interpretation?
(b)Do you think the regression R² will change? Why or why not?
(c)Although Chapter 4 in your textbook did not deal with hypothesis testing, it presented you with the large sample distribution for the slope and the intercept estimator. Given the change in the units of measurement in (a), do you think that the variance of the slope estimator will change numerically? Why or why not?

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