Question
Q: If Qdx = 50 - 5Px + 2Py - 3Pz + 2B + 2N + Note: Qdx is the quantity demanded for product x,
Q: If Qdx = 50 - 5Px + 2Py - 3Pz + 2B + 2N +
Note: Qdx is the quantity demanded for product x, Px is the price of product x, Py is the price of product y, z is the price of product z, B is the budget or the monthly income of the consumers, N is the number of consumers and e is the error term.
Which of the following is correct?
A. If the p value of the coefficient of Px is 0.04, then we should reject the null hypothesis that Px = 0 at 5% level of significance
B. If the p value of the coefficient of Pz is 0.004, then we should reject the null hypothesis that Pz = 0 at 1% level of significance
C. If the p value of the coefficient of B is 0.05, then we should reject the null hypothesis that B = 0 at 5% level of significance
D. All are correct
E. None is correct
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