Broadly speaking, classical approac

Broadly speaking, classical approaches to the problem of model adequacy can be classified
depending on how specific the alternative hypotheses are. These are the general
specification tests, the diagnostic tests, and the non-nested tests. The first of these, pioneered
by Durbin (1954) and introduced in econometrics by Ramsey (1969), Wu (1973),
Hausman (1978), and subsequently developed further by White (1981, 1982) and Hansen
(1982), are designed for circumstances where the nature of the alternative hypothesis is
kept (sometimes intentionally) rather vague, the purpose being to test the null against a
broad class of alternatives. (The pioneering contribution of Durbin (1954) in this area has
been documented by Nakamura and Nakamura (1981)).