Use the Following to Answer the Question(s) Below

question 9

Multiple Choice

Use the following to answer the question(s) below.
A linear regression model was fit to data representing technology adoption over time. The regression output and residual plot appears below.
-It is known that at 1% significance level the critical values for Durbin-Watson statistic are 0.738 and 1.038. The Durbin-Watson statistic indicates

• A) that the residuals are positively autocorrelated.
• B) that the residuals are negatively autocorrelated.
• C) that there is no positive autocorrelation.
• D) that there is no negative autocorrelation.
• E) that the test is inconclusive as dL < D < dU.

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Definitions:

Observed

Observed, in statistics, refers to the actual data or values collected from experiments or studies, as opposed to expected or theoretical values.

Chi-square Value

A statistic used to measure the differences between observed and expected frequencies in categorical datasets, testing for independence or goodness of fit.

Observed

Refers to measured or witnessed information and data gathered through experimentation or research.

Expected

Refers to the predicted outcome or value in probability and statistics, often based on theoretical or historical data.