Suppose That for a Time-Series Model with One Predictor, You

Multiple Choice

Suppose that for a time-series model with one predictor, you compute a Durbin-Watson statistic D = 1.409.Assume that n = 30 and α = 0.01.Then your decision is to ______.

A) fail to reject the null hypothesis D = 0
B) reject the null hypothesis D = 0
C) fail to reject the null hypothesis ρ = 0
D) reject the null hypothesis ρ = 0
E) fail to reject the null hypothesis ρ > 0