Skip to content

To test if the regression coefficient is statistically different from zero at the Nth % level of significance?

May 14, 2016

Use a two-tailed test or one-tailed test at n/2 % significance level. Make sure you use the right value from the t-Distribution table.

The absolute value of the regression coefficient must exceed the t-test table value at n-k-1 degrees of freedom.

Advertisements

From → Quant

Leave a Comment

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: