(Solution) - Consider Example 12 4 Compare the two competing models First order yi -(2025 Original AI-Free Solution)

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Consider Example 12.4. Compare the two competing models
First order: yi = 0o + ?1x1 + ?2x2i + ?i,
Second order: yi = 0o + ?1x1 + ?2x2i
+ ?11x21i + ?22x22i + ?12x1ix2i + ?i.
Use R2adj in your comparison in addition to testing H0: ?11 = ?22 = ?12 = 0. In addition, use C.V. discussed in Exercise 12.40.