The manager's null and alternative hypotheses for β₁is: A)H₀ : β₁= 0 and H₁ :β₁ 0. B)H₀ : β₁ 0 and H₁:β₁

Question

The manager's null and alternative hypotheses for β₁is: A)H₀ : β₁= 0 and H₁ :β₁> 0. B)H₀ : β₁> 0 and H₁:β₁< 0. C)H₀ : β₁≠ 0 and H₁:β₁= 0. D)H₀ : β₁= 0 and H₁: 0 < β₁< 1.

Quizplus · Accepted Answer

The manager's null hypothesis is that the coefficient of the interaction term (β₁) is equal to zero, and the alternative hypothesis is that this coefficient is greater than zero. This is expressed as H₀: β₁=0 and H₁: β₁>0.

The Manager's Null and Alternative Hypotheses for β1 is

The Manager's Null and Alternative Hypotheses for β₁is