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7 Hypothesis Tests and Confidence Intervals in MR Models

This chapter discusses methods that allow to quantify the sampling uncertainty in the OLS estimator of the coefficients in multiple regression models. The basis for this are hypothesis tests and confidence intervals which, just as for the simple linear regression model, can be computed using basic R functions. We will also tackle the issue of testing joint hypotheses on these coefficients.

Make sure the packages AER (Christian Kleiber and Zeileis 2008) and stargazer (Hlavac 2022) are installed before you go ahead and replicate the examples. The safest way to do so is by checking whether the following code chunk executes without any issues.



Hlavac, Marek. 2022. Stargazer: Well-Formatted Regression and Summary Statistics Tables. Bratislava, Slovakia: Social Policy Institute.
Kleiber, Christian, and Achim Zeileis. 2008. Applied Econometrics with R. New York: Springer-Verlag.