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The Null Hypothesis - H0: There is no first order autocorrelation
The Alternative Hypothesis - H1: There is first order autocorrelation
Durbin-Watson statistic = 1.98307
The Durban Watson (DW) Statistic shows the existence of auto correlation. In this case the value of DW is 1.98307 which is between dU 1.91110 and the dL value of 1.91912 (1.91110<1.98307<2.191912) this indicates that we do not reject H0 as there is sufficient evidence to suggest that there is no first order autocorrelation as evident from the Durban Watson analysis as well.
See appendix Durban Watson Statistic: (5 Per Cent Significance Points of dL and dU). The n value 1519 is represented in this case as 1500 alongside the k'= 4.
Lack of fit test
Possible curvature in variable totexp (P-Value = 0.000 )
Possible interaction in variable income (P-Value = 0.000 )
Overall lack of fit test is significant at P = 0.000
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