When comparing of two regression models, the model should have same
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1 markEconometricsGoodness of fit and model selectionAdjusted R-squared and model comparisonModerateabout 1 min
JNU SSS 2021 Question 65: Goodness of fit and model selection
Answer and worked solution
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When comparing r² of two regression models, the model should have same (A) Error term (B) Explanatory variables (C) Explained variables (D) Explanatory variables and Explained variables both
Also written as: When comparing r^2 of two regression models, the model should have same
Goodness of fit and model selection has come up 27 times in 6 exams since 2009.
What this question tests
This question is on Adjusted R-squared and model comparison, part of Goodness of fit and model selection in Econometrics.
Penalising extra regressors and when R-squared can be compared across models.
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