Assignment:
Consider a model that tries to explain the smoking behavior of an individual, based on the age, education, square of age, and whether or not there are restaurant smoking restriction laws where he or she lives. Open the dataset SMOKE in Gretl. Create a new dummy variable called "smoker". This variable is 1 if the individual smokes at least 1 cigarette per day, and 0 if he or she doesn't.
(i) Is there any statistical justification for overall significance of the Logitmodel? Provide a set of hypothesis, test-statistic, distribution, and the conclusion.
(vii) You are asked to comment on the following statement "Age of an individual is influential in determining his smoking behavior".Test for joint significance of age and age2 , using your Logit model.