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In the Regression Model Yi = β0 + β1Xi

Question 46

Multiple Choice

In the regression model Yi = β0 + β1Xi + β2Di + β3(Xi × Di) + ui,where X is a continuous variable and D is a binary variable,to test that the two regressions are identical,you must use the


A) t-statistic separately for β2 = 0,β2 = 0.
B) F-statistic for the joint hypothesis that β0 = 0,β1 = 0.
C) t-statistic separately for β3 = 0.
D) F-statistic for the joint hypothesis that β2 = 0,β3= 0.

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