Exam 1

  1. Metainformation

    Tag Value
    fileAssumptions_vufsw-linearity-0279-en_vufsw-linearity-0279-en
    namevufsw-linearity-0279-en
    sectionassumptions/linearity
    typeschoice
    solutionFALSE, FALSE, TRUE, FALSE
    Typeconceptual
    ProgramNA
    LanguageEnglish
    Levelstatistical literacy

    Question

    What are the consequences of violating the assumptions of linear regression?

    If the assumption of linearity is violated, then …


    1. FALSE: Are both the coefficients and the significance tests reliable.
    2. FALSE: The coefficients are reliable, but the significance tests are not reliable.
    3. TRUE: The coefficients are not reliable, but the significance tests are reliable.
    4. FALSE: Both the coefficients and the significance tests are not reliable.

    Solution

    If the assumption of normality is violated, the significance tests are not reliable. However, for large samples by the Central Limit Theorem, the distribution of residuals is approximately approximate normal. So, then significance tests can also be reliable.
    The violation of the assumption of homoscedasticity affects the significance tests (which cannot be trusted), but not the coefficients.
    The violation of the assumptions of linearity and no influential observations affect the coefficients (which are not a good reflect the relationship), but not on significance tests.


    1. False
    2. False
    3. True
    4. False