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You are to measure using regression techniques the effect of smoking on the number of heart attacks in a group of joggers. In the model,
You are to measure using regression techniques the effect of smoking on the number of heart attacks in a group of joggers. In the model, Y is the number of heart attacks, X is the age of the jogger and D is a dummy variable = 1 if a smoker and 0 if non-smoker. The model is written as: Y = B. + B2X+aD + . a. What assumptions are required for this model to generate unbiased estimates? b. How do you interpret a? c. How would you model and test for changes in the slope coefficient for the equation caused by smoking or non-smoking joggers? Interpret the slope coefficients of your model? d. Describe how you would carry out a Chow test to test the hypothesis of no difference between smokers and non-smokers in number of heart attacks
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