How to avoid the zero-power trap in testing for correlation

27 Dec 2018 Preinerstorfer David

In testing for correlation of the errors in regression models the power of tests can be very low for strongly correlated errors. This counterintuitive phenomenon has become known as the "zero-power trap"... (read more)

PDF Abstract
No code implementations yet. Submit your code now

Categories


  • STATISTICS THEORY
  • ECONOMETRICS
  • METHODOLOGY
  • STATISTICS THEORY