Q38. What percent of the variability in the dependent variable is explained by the independent variable? A) 40.73%. B) 56.00%. C) 12.68%.
Q39. The model indicates that at the 5% level of significance: A) the slopes are not significant but the constant is. B) the slopes are significant but the constant is not. C) the slopes and the constant are statistically significant.
Q40 . When a number of independent variables in a multiple regression are highly correlated with each other, the problem is called: A) multicollinearity. B) autocorrelation. C) heteroskedasticity.
Q41. In a recent analysis of salaries (in $1,000) of financial analysts, a regression of salaries on education, experience, and gender is run. Gender equals one for men and zero for women. The regression results from a sample of 230 financial analysts are presented below, with t-statistics in parenthesis. Salaries = 34.98 + 1.2 Education + 0.5 Experience + 6.3 Gender (29.11) (8.93) (2.98) (1.58) What is the expected salary (in $1,000) of a woman with 16 years of education and 10 years of experience?
A) 59.18. B) 54.98. C) 65.48.
Q42. Holding everything else constant, do men get paid more than women? Use a 5% level of significance. No, since the t-value: A) does not exceed the critical value of 1.96. B) does not exceed the critical value of 1.65. C) exceeds the critical value of 1.96.
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