or These questions are to be answered True or False. No explanation is needed. I

Question

or These questions are to be answered True or False. No explanation is needed. If applicable, some questions refer to the following standard population regression model and OLS sample regression line based off a dataset with n = 500 observations: 1. You test the following hypothesis H1: Ho is not true When computing the F statistic the numerator degrees of freedom is 2 and the denominator degrees of freedom is 498. 2. You reject Ho:A = 0 at the 5% level against the alternative H1: 10. You can therefore reject the same null at the 10% level. 3. The RAND HIE found that more generous health insurance led to improved health outcomes. 4. Randomized control trials with only two subjects in the experiment always result in the elimination of selection bias. 5. The counterfactual for person i who got treated with X and has outcome Y, is the outcome before the person got treated. 6. In a model predicting the price of a used car, you want to allow for the age of a car to affect the predicted price in a non-linear way. To do this you need to include an interaction term in your regression equation. 7. The linear probability model never gives predicted values of the dependent variable that are greater than 1 8. The critical value for a one-sided t test at the 5% level with 5 degrees of freedom in greater than the critical value for a two-sided t test at the 5% level with 30 degrees of freedom. 9. An interaction term allows the effect of one independent variable to vary depending on the value of a different independent variable

Explanation / Answer

False. To eliminate selection bias relevant variables must be included if required more than two also possible

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