# AN EXTENSION OF THE METHODOLOGY OF USING THE STUDENT TEST IN CASE OF A LINEAR REGRESSION WITH THREE EXPLANATORY VARIABLES

*Florin Pavelescu* ()

*Romanian Journal of Economics*, 2014, vol. 38, issue 1(47), 89-106

**Abstract:**
Having in view some algebraical properties of the Student Test statistics, in this paper a new indicator is proposed in order to evaluate the quality of estimation in case of a linear regression with three explanatory variables, when OLS method is used. The respective indicator, named Synthesis of Transformed Form of Student Test statistics (STFST) is defined by taking into consideration the arithmetical mean and the coefficient of variation of Transformed Form of Student Test Statistics. Also, an explanation regarding the deviation of the arithmetical mean of Transformed Form of Student Test Statistics from Fisher Test statistics is given. In this context, a factorial analysis model is proposed in order to reveal the modeling factors contribution in obtaining the Student Test statistics. At the end of the paper a numerical example is presented in order to show the practical use of the proposed analysis methodology.

**Keywords:** Transformed Form of Student Test statistics; Fisher Test statistics; informational energy; factorial analysis (search for similar items in EconPapers)

**JEL-codes:** C13 C20 C51 C52 (search for similar items in EconPapers)

**Date:** 2014

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**Persistent link:** https://EconPapers.repec.org/RePEc:ine:journl:v:1:y:2014:i:47:p:89-106

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