Let’s assume a regression analysis as follows: Here, the de…

Let’s assume a regression analysis as follows: Here, the dependent variable is GDP per capita (=) and the key independent variable is Covid. Covid variable is a binary variable (0: before the Covid-19 pandemic period, 1: the Covid-19 pandemic period). Based on the above results, GDP per capita during the Covid-19 pandemic period (i.e., Covid = 1) is 1024.934 lower than GDP per capita before the Covid-19 pandemic period (i.e., Covid =0) at statistically ____________________

Advanced Bonus Question 1 (5 points) When we do hypothesis t…

Advanced Bonus Question 1 (5 points) When we do hypothesis tests, First, we need to define our null hypothesis. Second, we need to assume the distribution of test statistics under the null hypothesis. For example, the z-test assumes normal distributions under the null hypothesis the t-test assumes t-distributions under the null hypothesis the F-test assumes F-distribution under the null hypothesis Third, we draw the null distribution and decide on critical value (CV) and rejection region based on the statistical significance level. Fourth, we get test statistics from observed sample data. Fifth, we need to compare test statistics with critical value (CV)  to decide whether to accept or reject the null hypothesis, or we need to compare p-value with statistical significance to decide whether to accept or reject the null hypothesis.  In particular,  when we know that (1) a random variable X in a population follows a normal distribution, (2) mean of X in the population  (3) randomly selected sample data for X from the population that follows a normal distribution. (4) sample mean and variance of X in the sample data.  However, we do not know ______________________ In this case, we can apply t-test for hypothesis tests.