If the value of the Durbin-Watson test statistic,d,satisfies the inequalities d 4 −d L ,where d L and d U are the critical values of d,we conclude that autocorrelation exists.

Question

If the value of the Durbin-Watson test statistic,d,satisfies the inequalities d  < d L  or d > 4 −d L ,where d L  and d U  are the critical values of d,we conclude that autocorrelation exists.

Christian Gomez · Accepted Answer

Final Answer : True, Explanation :  The statement is true. The Durbin-Watson test statistic measures the presence of autocorrelation in the residuals of a regression analysis. The critical values of the test statistic depend on the sample size and the number of independent variables in the regression model. If the calculated value of the test statistic falls below the lower critical value or above the upper critical value, we reject the null hypothesis of no autocorrelation and conclude that autocorrelation exists.

If the value of the Durbin-Watson test statistic,d,satisfies the inequalities d < d_L or d > 4 −d_L,where d_L and d_U are the critical values of d,we conclude that autocorrelation exists.

Definitions

Learning Objectives

Learning Objectives

Related questions

If the value of the Durbin-Watson test statistic,d,satisfies the inequalities d < dL or d > 4 −dL,where dL and dU are the critical values of d,we conclude that autocorrelation exists.

Definitions

Learning Objectives

Learning Objectives

Related questions

If the value of the Durbin-Watson test statistic,d,satisfies the inequalities d < d_L or d > 4 −d_L,where d_L and d_U are the critical values of d,we conclude that autocorrelation exists.