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Suppose a data set of 150 observations (N =150) was analyzed using OLS to examine the factors tha...

Suppose a data set of 150 observations (N =150) was analyzed using OLS to examine the factors that influence college grade point average (GPA). The regression results are as follows:

log(colGPA)=5.5+0.5*hsGPA+0.02*ACT −0.08*skipped

(0.5) (0.1) (0.01) (0.03)

where the number in the parenthesis is the corresponding standard error. You want to test the following null hypothesis: the coefficient estimate for ACT=0. What is the t statistic? Suppose the critical value=1.6, would you reject the null hypothesis?

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