Lecture 13 2010

# Lecture 13 2010 - PRS 1 Last week we calculated 90...

This preview shows pages 1–3. Sign up to view the full content.

1 PRS 1: Last week, we calculated 90% confidence intervals estimates for the effect of mileage on price for used 2004 Honda Accords, β 1 . The true population parameter value is – \$0.0894 per mile. Does your 90% confidence interval contain this true value? Yes – enter 1 No – enter 0. III. Simple Regression. A. Introduction B. Population Regression Equation C. Sample Regression Equation D. Ordinary Least Squares E. Classical Regression Model. F. Properties of OLS Estimators ( BLUE ) G. Estimator for σ 2 H. Inference (we’ve done this before!) H. Inference in Simple Regression 1. Introduction: Inference : Combine point estimates and sampling distribution information. 2. σ 2 known 3. σ 2 NOT known

This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document
2 H. Inference (cont.) 2. σ 2 known • Experiment – we knew σ 2 • Calculate the true standard error for the sampling distribution. CI formula : • Hypothesis test: Z calc vs. Z α /2 or Z α The Fisher equation for interest rates: Nominal Rate Real Rate + Inflation . In the real world, this will not be an exact
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

### Page1 / 5

Lecture 13 2010 - PRS 1 Last week we calculated 90...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document
Ask a homework question - tutors are online