Optimal Testing for Equicorrelated Linear Regression Models

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Bhatti, Ishaq
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1995
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Abstract

Recently, Knautz and Trenkler (1993) considered Christensen's (1987) equicorrelated linear regression model as an example to show that S2 and?^ are independent even though the disturbances are equicorrelated. This paper addresses the issue of testing for the equicorrelation coefficient in the linear regression model based on survey data. It computes exact and approximate critical values using Point optimal and F-test statistics, respectively. An empirical comparison of these critical values at five percent nominal level are presented to demonstrate the performance of the new tests.

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Statistical Papers

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36

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4

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Medical and Health Sciences

Statistics

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