3) Jarque-Bera Test ( Compute the coefficients of skewness, S(a measure of asymmetry of a PDF), and kurtosis, K of a random variables, (OLS residuals e dEvelope the test statistic (K-3) JB (6.49) 4 ③ Get jB from X2 table, if Jb=0. the variable is normal distributed If JB>Xe reject 6. A Word on Computation 6. 10 An Illustrative Example◼ （3）Jarque-BeraTest ①Compute the coefficients of skewness, S(a measure of asymmetry of a PDF),and kurtosis, K of a randomvariables, (OLS residuals ei ) ②Develope the test statistic: ~ (6.49) ③Get JB from χ2 table, if JB=0, the variable is normal distributed if JB＞ , reject H0 6.9 AWord on Computation 6.10 An Illustrative Example:       − = + 4 (K 3) S 6 n JB 2 2 2 χ(2) 2 χ(2)