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9 If we start with (6.38) under the CLM assumptions, assume large n, and ignore the estimation error in the 3, a 95% prediction interval
9 If we start with (6.38) under the CLM assumptions, assume large n, and ignore the estimation error in the 3, a 95% prediction interval for yo is [exp(1.966') exp(@, exp (1.966") exp(@]. The point prediction for yo is 520 = exp(62/2) expd. (i) For what values of 6' will the point prediction be in the 95% prediction interval? Does this condition seem likely to hold in most applications? (ii) Verify that the condition from part (i) is satised in the CEO salary example
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