Unformatted text preview: solution b = ( X X )-1 X Y yields the values of b and b 1 discussed in class and in the book. (b) According to results from linear models, the variance of b is the upper left element of σ 2 ( X X )-1 , the variance of b 1 is the lower right, and the covariance between b and b 1 is given by the oﬀ-diagonal. Verify that σ 2 ( X X )-1 gives the correct values (i.e. in the text or notes) for the two variance terms. (c) Are b and b 1 independent? Why or why not? 1...
View Full Document
This note was uploaded on 12/14/2011 for the course STAT 704 taught by Professor Staff during the Fall '11 term at South Carolina.
- Fall '11