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    Vivek Jain
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    This document contains solutions to practice problems involving simple linear regression models. It addresses questions about the assumptions of the regression model, hypothesis testing of regression coefficients, calculating error terms, predicting response values and generating confidence intervals. The key aspects covered are checking if a slope coefficient is statistically different than 0, calculating the root mean squared error, and determining that prediction and confidence intervals will be wider for response values further from the mean of the predictor variable.

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    Practice set 6 Solutions

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    This document contains solutions to practice problems involving simple linear regression models. It addresses questions about the assumptions of the regression model, hypothesis testing of regression coefficients, calculating error terms, predicting response values and generating confidence intervals. The key aspects covered are checking if a slope coefficient is statistically different than 0, calculating the root mean squared error, and determining that prediction and confidence intervals will be wider for response values further from the mean of the predictor variable.

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    3 views1 page

    Practice Set 6 Solutions

    Uploaded by

    Vivek Jain
    This document contains solutions to practice problems involving simple linear regression models. It addresses questions about the assumptions of the regression model, hypothesis testing of regression coefficients, calculating error terms, predicting response values and generating confidence intervals. The key aspects covered are checking if a slope coefficient is statistically different than 0, calculating the root mean squared error, and determining that prediction and confidence intervals will be wider for response values further from the mean of the predictor variable.

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    SMMD: Practice Problem Set 6 (Solution)

    Topics: The Simple Regression Model

    1. (D) For a given value of the predictor, the response variable is normal. But the histogram
    of the response values in the sample is for different values of predictor variable. Thus, the
    histogram may not look like a bell curve. So, (A) is not correct. (B) is not correct because
    the SRM assumes independence of the errors around the regression or among the values
    of the response, not the explanatory variable. (C) is true about prediction intervals, but not
    confidence intervals. Even when residuals are not strictly normal, confidence intervals and
    hypothesis tests work pretty well.

    2. (C) To test the claim about association between X and Y variables, one must look at the
    hypothesis for the slope.
    H0: 1 = 0 Ha: 1  0
    Here, p-value associated with t = 3.59 <0.05. Therefore, H0: 1 = 0 can be rejected at  =
    0.05

    3. (A) RMSE = MSE = √0.005211575 = 0.0722

    4. (A)Average GMAT score is 558. We know that the exact prediction or confidence intervals
    are shorter near the mean of the x-range and larger towards the extreme of x-values.
    Hence, it will be longer atGMAT score of 400 compared to that at 580.

    5. (D) The t-value in the table (t Stat) = (coefficient – 0)/standard error. Putting the values for
    standard error and t-value, we get the coefficients as 22.96 and - 1.136.

    6. (C)Using the formula as b1  t0.025, 13*SE(b1), we get (-2.5184 to 0.2464)

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