Consider b2 ,the estimator for β2 , în the model yi-A+Baxi+β34+ui . În which of the...

Question

Question

Consider b2 ,the estimator for β2 , în the model yi-A+Baxi+β34+ui . În which of the following situations is b2 the most accur

Answer 1

Answer #1

From the given regression line ,

b2 is most accurate estimator for B2

when Var[u] is small and Cov[x,z] is close to zero

Answer 2

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