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d.) Test the hypothesis that the coefficients on wfed and ws ta are equal to each other. Use the t-test method described in the lectures.

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d.) Test the hypothesis that the coefficients on wfed and ws ta are equal to each other. Use the t-test method described in the lectures. What transformation do you need to do here? Be specific. Ho: wfed = wsta Ho: wfed - wsta = 0 0 = wfed - wsta 0 + wsta = wfed t-test for 0 = 0. to test that wfed = wsta we generate X1 + X2 X1 = wfed; X2 = wsta generate wfedplussta=wfed +wsta We run the regression crmrte wfed wfedplussta We get a p-value of 0.361. hence we will not be able to reject the null hypothesis that wfed and wsta has the same effect

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