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In this question we will practice with the exclusion restrictions and linear restrictions. Using the full Boston dataset from before, our baseline will be 105500)
In this question we will practice with the exclusion restrictions and linear restrictions. Using the full Boston dataset from before, our baseline will be 105500) = .50 + ,51 10g(Xli) + 162 10g(X2i) + #3 10g(X3i) + 410g(X4i)+ 6i where Y = median value of owneroccupied homes in $10003. X1 = nitrogen oxides concentration (parts per 10 million). X2 = per capita crime rate by town. X3 = proportion of owneroccupied units built prior to 1940 X4 = pupilteacher ratio by town. For each of the questions, to get full credit, report the following: 1. The restricted and unrestricted regression models 2. The q, N, K, SSR,, SSRW 3. The F-test statistic and its distribution 4. The critical value at a = 0.05. 5. Comparison of the test statistic to the critical value, and the results of your hypothesis test. Hint: The R function to find the critical value for the F distribution with J numerator degrees of freedom and K denominator degrees of freedom at the significance level ofL is qf(1L,J,K) Hint: If lml is your regression model (i.e., lml
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