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The Chow test is a statistical method used to determine whether the coefficients in two distinct regression models are equal. It is commonly applied in econometrics to test for structural breaks in time series data or to compare the performance of models across different groups. The test involves estimating a combined model and comparing its fit to the separate models, using an F-test to assess the significance of any differences in coefficients. A significant result indicates that the relationship between the independent and dependent variables differs across the groups being compared.

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5d ago

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