manufactures.WF1

The data file Manufactures contains data from the U.S. Census Bureaus American Survey of Manufactures on 455 industries in 1994. The variables are as follows:

shipment = value of output shippep. materials = value of materials inputs used in production.Newcap = expenditure on new capital by this industry. Inventory = value of inventory hold. Managers = number of supervisory workers employed. Workers = number of production workers employed. The first four variables are measured in thousands of dollars. Estimate the regression of

Shipments = b ₀ + b ₁ managers + b ₂ workers + b ₃ materials + b ₄ newcap +b ₅ inventory + _i

using the Breusch- Pagan - Godfrey test in the above regression, determine which of the following statements is not correct.

		the error increases with the explanatory variable inventory.
		the error terms increase with the explanatory variable materials.
		the error terms increase with the explanatory variable managers.
		the error terms increase with the explanatory variable newcaps. checked this answer already: its wrong! dont choose! Least Squared results

heteroscedasticity test of least squared results

Dependent Variable: SHIPMENTS Method: Least Squares Date: 10/29/18 Time: 20:42 Sample: 1 455 Included observations: 455 Variable Coefficient Std. Error t-Statistic Prob MANAGERS WORKERS MATERIALS NEWCAP INVENTORY 258178.2 109967.8 2.347761 0.0193 96.23000 6.141296 15.66933 0.0000 16.70028 3.394212 4.920222 0.0000 1.124667 0.014830 75.83519 0.0000 3.686418 0.270154 13.64560 0.0000 0.365641 0.068286 5.354566 0.0000 R-squared Adjusted R-squared S.E. of regression Sum squared resid Log likelihood F-statistic Prob(F-statistic) 0.982877 Mean dependent var 0.982686 S.D. dependent var 1900207. Akaike info criterion 1.62E+15 Schwarz criterion 7220.748 Hannan-Quinn criter 5154.494 Durbin-Watson stat 0.000000 7333968 14441144 31.76592 31.82026 31.78733 1.976369