The Durbin-Watson statistic tests for serial correlation in the residuals. According to the table, dl = 1.61 and du = 1.74 for three independent variables and 160 degrees of freedom. Because the DW (1.34) is less than the lower value (1.61), the null hypothesis of no significant positive serial correlation can be rejected. This means there is a problem with serial correlation in the regression, which affects the interpretation of the results
