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Imagine you have been given the task of evaluating the relationship between the return on a mutual fund and the number of years its manager
Imagine you have been given the task of evaluating the relationship between the return on a mutual fund and the number of years its manager has been a professional. You have a data set which covers all of the mutual funds returns in the year 1970-2005. Consider the regression R; = a+expert+et What test statistic would you use to determine whether experience has a positive effect? What are the null and alternative hypotheses for the above test
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