Consider the regression model:
Consider the regression model:
testscore=β1+β2IQ+β3male+β4(IQ×male)+u
where, testscore = students’ test score
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Order Paper NowIQ = student’s IQ
male = 1 if student is male, = 0 if student is female
Based on this model, how do we assess the statistical significance of IQ?
A. Test H0 : β2 = β4 = 0 , Ha : H0 is false
B. Test H0 : β2 = 0 , Ha : H0 is false
C. First test H0 : β2 = 0 , Ha : H0 is false. If we do not reject, then we test ,H0 : β4 = 0 Ha : H0 is false
D. First test H0 : β2 = 0 , Ha : H0 is false. If we reject, then we test ,H0 : β4 = 0 Ha : H0 is false