Question

A researcher is modelling the number of streams of a song (y variable) using time series data with 67 days, which is the number of observations. To control for day-of-week effects, the researcher starts with a basic multiple regression specification that includes a full set of fixed effects for the days of the week. What is the critical value for testing the overall statistical significance of this basic multiple regression specification at a 10% significance level?
(Hint: Remember that there must be an omitted category (e.g. Sunday).) (Record your answer accurate to the nearest second decimal place with standard rounding.)

Answer 1

let us consider n = number of observations = 67

and k = number of independent variables = 6 ( Monday, Tuesday, Wednesday, Thursday, Friday , Saturday)

the degree of freedom of denumerator = (n-1) = 66

the degree of freedom of numerator (k) = 6

the critical value for testing the overall statistical significance at 0.10 i.e F(6,66) =2.2395 = 2.24 (upto two decimal)