With regard to regression models, which of the followingstatements is correct?
i) Linear restrictions on regression parameters cannot be testedusing an F-test.
ii) The general-to-specific approach (also called “top-downâ€)starts with a model containing all explanatory variables.Subsequently, the least significant variables are dropped one byone until all of the variables remaining in the model arestatistically significant.
iii) Multicollinearity in a regression results in hight-statistics for individualexplanatory variables and afailure of the F-test to reject the null hypothesis thatthe explanatory variables are jointly insignificant.
