You estimate a simple linear regression model using a sample of 25 observations and obtain the following results (estimated standard errors in parentheses below coefficient estimates): y = 97.25 + 19.74 * x
(3.86) (3.42)
You want to test the following hypothesis: H0: β2 = 1, H1: β2 > 1. If you choose to reject the null hypothesis based on these results, what is the probability you have committed a Type I error?
a.) between .01 and .02 b.) between .02 and .05 c.) less than .005 d.) It is impossible to determine without knowing the true value of β2