Yi szlig1xi1 szlig2xi2 szlig3xi3 szlig4xi4 eifor the

Assignment Help Econometrics

y_i = ß₁x_i1 +ß₂x_i2 +ß₃x_i3 +ß₄x_i4 + e_i

For the hypothesis H₀ : ß₂=1, ß₃= ß₄

(a) propose a test statistic (with specific, rather than general, notation.)

(b) state what is its distribution under the null and why

(d) show how your test statistic can be computed from two regressions.

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