TABLE 4 IMPACT OF TExTBooK PROGRAM oN NORMALIZED ST SCORES Normalized test Norma

Question

TABLE 4 IMPACT OF TExTBooK PROGRAM oN NORMALIZED ST SCORES Normalized test Normalized test minus Score Score minus Normalized test a b Normalized test score pretest score score pretest score Dependent variable (1) (2) (3) (4) 0.023 Textbook school 0.020 0.018 0.046 0.087) 0.104) (0.053) (0.071) Received a textbook Region and sex dummies Years exposed to textbooks Grades 3-8 4-7 3-8 4-7 12,663 11,321 Observations 24,132 7,354 Notes: Standard errors in parentheses a Running the same regressions for individual subjects English, math, and science (not shown in this table), yields similar results, with the coefficients on textbooks never statistically significantly different from zero. b Sample includes all children enrolled in January of year 1 who took the relevant OctoberNovember test e Sample includes all children who were enrolled in January of year 1 and took the relevant October/November test as well as the pretest in January of year 1. Significant at the 1 percent level. Significant at the 5 percent level. Significant at the 10 percent level. 1. What is the null hypothesis in table 4 with regards to a specific variable? Explain. 2. In table 4 column 1), is the key variable statistically distinguishable from zero? Explain

Explanation / Answer

Part-1

Nulll hypothesis H0:beta=0 versus the alternative Ha: beta not equls 0

Part-2

Test statisic for textbook school t=0.023/0.087=0.26

As sample size is large comparing it with t=1.96 we do not reject the null hypothesis and conclude thaat key variable is not statisitcally distinguishable from zero

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