FIGURE 11.12 Residuals from regression (8.2.1)
homoscedasticity may be valid. Incidentally, regressing the log of the squared residual values on the log of CM did not change the conclusion.
The absolute values of the residual obtained from (8.2.1), when regressed on the estimated CM value from the same regression, gave the following results:
Again, there is not much systematic relationship between the absolute values of the residuals and the estimated CM values, as the t value of the slope coefficient is not statistically significant.
Applying White's heteroscedasticity test with and without cross-product terms, we did not find any evidence of heteroscedasticity. We also reestimated (8.2.1) to obtain White's heteroscedasticity-consistent standard errors and t values, but the results were quite similar to those given in Eq. (8.2.1), which should not be surprising in view of the various heteroscedasticity tests we conducted earlier.
In sum, it seems that our child mortality regression (8.2.1) does not suffer from heteroscedasticity.
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