1. Which one of the following equations contains the error term?

1.All of the above

2.Y-hat = a+ b X

3.None of the above

4.Y = + X +

5.Y = a+ b X + e

6.Y-hat =+ X

n =

QUESTION 2

With regression, you found that Y = 10+ 2 X

If X increases by 1, how would you predict the change of Y?

1.Decrease by 50%

2.Increase by 2 times

3.Increase by 2

4.Decrease by 2

5.Cannot tell from the equation

6.No change

QUESTION 3

After running a regression, we calculate the coefficient of determination r2 = 0.94. How to interpret this r2?

1.The variation of Y is 94%.

2.94% of variation in Y is explained by the model.

3.If model changes by 1, Y changes by 94%.

4.None of the above.

5.The probability of accurately predicting Y is 94%.

QUESTION 4

When you want to test the association between twocontinuous variables (interval variables)var1 and var2, which command do you use in Stata.

1.pwcorr var1 var2

2.tabulate var1 var2, chi2

3.tabulate var1 var2, gamma

4.pwcorr var1=var2

QUESTION 5

If the estimated slope is b=5, and the standard error of the slope is s_b=2. Based on b and s_b, you calculate the p-value for the slope is 0.067. Can you reject the null hypothesis?

1.Not enough information to make the decision

2.More than one answers are correct

3.If the alpha (significance level) is 0.05, we can reject the null hypothesis

4.If the alpha (significance level) is 0.1, we can reject the null hypothesis

5.If the alpha (significance level) is 0.01, we can reject the null hypothesis