Using the 420 Observations of the California School Data Set

question 64

Essay

Using the 420 observations of the California School data set from your textbook,you estimate the following relationship: = 681.44 - 0.61LchPct
n=420,R2=0.75,SER=9.45
where TestScore is the test score and LchPct is the percent of students eligible for subsidized lunch (average = 44.7,max = 100,min = 0).
a.Interpret the regression result.
b.In your interpretation of the slope coefficient in (a)above,does it matter if you start your explanation with "for every x percent increase" rather than "for every x percentage point increase"?
c.The "overall" regression F-statistic is 1149.57.What are the degrees of freedom for this statistic?
d.Find the critical value of the F-statistic at the 1% significance level.Test the null hypothesis that the regression R2= 0.
e.The above equation was estimated using heteroskedasticity robust standard errors.What is the standard error for the slope coefficient?

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Definitions:

Type I Error

Wrongly dismissing a true null hypothesis, commonly called a "false positive."

Type II Error

The statistical error occurring when a test fails to reject a false null hypothesis, also known as a "false negative."

Type I Error

The mistake of rejecting a true null hypothesis, also known as a false positive.

Type II Error

The statistical error that occurs when one fails to reject a false null hypothesis, a mistake of not detecting an effect that is there.