To the model estimated in table 8.1, add the interaction term, e401k · inc. estimate the equation by ols and obtain the usual an
1 answer:
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Answer:
Option (D)
Step-by-step explanation:
If a function f(x) is represented on a graph and we follow the transformation as,
f(x) →
1). If k ≥ 1, graph of the parent function f(x) will be stretched vertically by a factor k.
That means the transformed graph will be narrower.
2). If 0 < k < 1, graph will be vertically compressed or the transformed function will show a wider graph.
Following this rule,
f(x) → shows k =
[Since 0 <
< 1]
Therefore, transformed form will be wider.
Option (D) will be the answer.