[See Solution] [12 Marks] True, False or Uncertain: Justify your answer If the correlation between the two variables is zero, it means that there is no relationship


Question: [12 Marks]

True, False or Uncertain: Justify your answer

  1. If the correlation between the two variables is zero, it means that there is no relationship between the two variables whatsoever.
  2. If you reject the specific null hypothesis at 1% level of significance then the same null hypothesis will be rejected at 5% level of significance as well.
  3. The R 2 corresponding to the simple linear regression model \({{y}_{i}}={{\beta }_{1}}+{{\beta }_{2}}{{X}_{i}}\) measures the correlation coefficient between y and x.
  4. \({{y}_{i}}={{\beta }_{1}}+{{\beta }_{2}}X_{i}^{2}+{{\varepsilon }_{i}}\) is a non-linear model.

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