The individual <Student's t-test>[t-tests] only test each <regression coefficient> after adjusting for the other covariate. Here neither covariate is individually significant at conventional levels, but from the abbreviated coefficient table alone one cannot conclude that neither explains the response: strong <multicollinearity> can make both standard errors large even when the covariates are jointly useful.

Solution

Past exam of the mathematics course of the University of Cambridge / 2020 / ii / Paper 4 / 5J / a / i / Solution

 Solution (source code)