Statistical Significance
This test is used for multiple hypotheses
What is an F-test?
This variable can take on a value of 0 or 1
What is a dummy (or indicator) variable?
A VIF exceeding this level is usually taken as a sign that multicollinearity is severe
What is 5?
The error term is assumed to have this distribution
What is the normal distribution?
This is the first step when doing empirical research
What is review the literature?
What is P < 0.05 (so 5%)
This is the default function form
What is linear?
The t-stat "rule-of-thumb" for determining if a variable is statistically significant
What is a t-statistic > 2?
This term is used to describe an error term that does not have a constant variance
What is heteroskedasticity?
This Stata option will allow you to control for heteroskedasticity
What is "robust"? (so getting robust standard errors)
The appropriate hypothesis test if you are unsure about a variable's sign
What is a two-sided test?
The estimates from this functional form are interpreted as elasticities
What is double-log?
A correlation coefficient exceeding this level is an indication of multicollinearity
What is 0.80?
This term is used to describe error terms that are correlated with each other
What is serial correlation?
This variable is (usually) the product of a continuous variable and a dummy variable
What is an interaction term?
Serial correlation will have this effect on t-stats
What is increase?
These are the four specification criteria
What are theory, t-test, R(bar)squared, and bias?
A Durbin-Watson value that is close to this value is a sign of positive serial correlation
This occurs when all dummy variable categories are included in a regression equation
What is perfect multicollinearity?
What is the order condition?
This error occurs when a true null hypothesis is rejected
What is a Type I error?
Estimates from this functional form, when multiplied by 100, can be interpreted as growth rates
What is a semilog (lnY)?
Multiplying a logit coefficient by this amount gives an estimate of the marginal effect
What is 0.25?
This term is used to describe the OLS estimator when Classical Assumptions I through VI are met
What is BLUE (best linear unbiased estimator)?
This type of data set combines time series and cross sectional data
What is a panel data set?