Question

# On the first day of class, an economics professor administers a test to gauge the math preparedness of her students. She believes that the performance on this math test and the number of hours studied per week on the course are the primary factors that predict a student's score on the final exam. She collects data from 60 students, a portion of which is shown in the accompanying table.\begin{aligned} &\begin{array}{|c|c|c|} \hline \text { Final } & \text { Math } & \text { Hours } \\ \hline 94 & 92 & 5 \\ \hline 74 & 90 & 3 \\ \hline: & \vdots & \vdots \\ \hline 63 & 64 & 2 \\ \hline \end{array} \end{aligned}b. At the $5 \%$ significance level, are a student's math score and the number of hours studied per week jointly significant in explaining a student's final exam score?

Solution

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In this task, we need to run a test of joint significance for the given distribution. The dependent variable $y$ is $\text{Final}$ and explanatory variables are $\text{Math}$ and $\text{Hours}$.

What is the test of joint significance?