Let R2 unrestricted and R2 restricted be 0.4366 and 0.4149 respectively. The difference between the unrestricted and the restricted model is that you have imposed two restrictions. There are 420 observations and three explanatory variables. The F-statistic in this case is: a. 4.61
b. 8.01
c. 10.34
d. 7.71

A ratio of two variances is the F-statistic. Variances are a metric for dispersion, or how far the data deviates from the mean.

Correct option is B.

The F-statistic in this case is: 8.01

Given Information:-

F-statistic=(0.4366 - 0.4149/2)/1 -0.4366/420-3-1

F-statistic= (0.01085/0.5634)*416

F-statistic= 8.01

To know more about Unrestricted model, refer to the link:

link

8.01

Explanation:

(0.4366 - 0.4149/2)/1 -0.4366/420-3-1

= (0.01085/0.5634)*416

= 8.01

answer; possession utility;