For the model y = β₀ + β₁x + β₂d₁ + β₃d₂ + ε,which test is used for testing the joint significance of the dummy variables d₁ and d₂? A)F test B)t test C)chi-square test D)z test

Question

Quizplus · Accepted Answer

The appropriate test for joint significance of multiple variables is the F test. The other tests listed are not appropriate for this scenario.

For the Model Y = β0 + β1x + β2d1

For the Model Y = β₀ + β₁x + β₂d₁