Essay
Consider the following two models to explain testscores. Model 1:
Dependent Variable: TESTSCR
Method: Least Squares
Date: 07/31/06 Time: 17:52
Sample: 1420
Included observations: 420 : Model 2:
Dependent Variable: TESTSCR
Method: Least Squares
Date: 07/31/06 Time: 17:56
Sample: 1420
Included observations: 420 Explain why you cannot use the F-test in this situation to discriminate between Model 1
and Model 2.
Correct Answer:

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