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An Extension Of The Methodology Of Using The Student Test In Case Of A Linear Regression With Three Explanatory Variables

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  • Florin-Marius PAVELESCU

    (Institute of National Economy)

Abstract

Having in view some algebraical properties of the Student Test statistics, in this paper a new indicator is proposed in order to evaluate the quality of estimation in case of a linear regression with three explanatory variables, when OLS method is used. The respective indicator, named Synthesis of Transformed Form of Student Test statistics (STFST) is defined by taking into consideration the arithmetical mean and the coefficient of variation of Transformed Form of Student Test Statistics. Also, an explanation regarding the deviation of the arithmetical mean of Transformed Form of Student Test Statistics from Fisher Test statistics is given. In this context, a factorial analysis model is proposed in order to reveal the modeling factors contribution in obtaining the Student Test statistics. At the end of the paper a numerical example is presented in order to show the practical use of the proposed analysis methodology.

Suggested Citation

  • Florin-Marius PAVELESCU, 2014. "An Extension Of The Methodology Of Using The Student Test In Case Of A Linear Regression With Three Explanatory Variables," Romanian Journal of Economics, Institute of National Economy, vol. 38(1(47)), pages 89-106, June.
    • Handle: RePEc:ine:journl:v:1:y:2014:i:47:p:89-106
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    References listed on IDEAS

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    1. Pavelescu, Florin Marius, 2012. "Interdendenta dintre tipul de colinearitate si valorile calculate ale testului Student in cazul unei regresii lineare cu doua variabile explicative," Working Papers of Macroeconomic Modelling Seminar 122502, Institute for Economic Forecasting.
    2. Pavelescu, Florin Marius, 2013. "Factorii modelatori ai valorilor calculate ale Testului Student in cazul unei regresii liniare cu trei variabile explicative," Working Papers of Macroeconomic Modelling Seminar 132603, Institute for Economic Forecasting.
    3. Florin Marius Pavelescu, 2010. "An Extensive Study on the Disturbances Generated by Collinearity in a Linear Regression Model with Three Explanatory Variables," Romanian Journal of Economics, Institute of National Economy, vol. 31(2(40)), pages 65-93, December.
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    Cited by:

    1. Florin-Marius PAVELESCU, 2015. "Modelling factors of Student test statistics dispersion in a multiple linear regression," Romanian Journal of Economics, Institute of National Economy, vol. 41(2(50)), pages 25-41, december.

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    More about this item

    Keywords

    Transformed Form of Student Test statistics; Fisher Test statistics; informational energy; factorial analysis;
    All these keywords.

    JEL classification:

    • C13 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Estimation: General
    • C20 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - General
    • C51 - Mathematical and Quantitative Methods - - Econometric Modeling - - - Model Construction and Estimation
    • C52 - Mathematical and Quantitative Methods - - Econometric Modeling - - - Model Evaluation, Validation, and Selection

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