Suppose that the covariates Xj,i for i 1, 2, , n and j 1, 2, , indicator variables for a single categorical variable in the manner covered in the course. Thus, suppose that for each individual i = 1,...
linear stat modeling & regression
1) Consider n data points with 3 covariates and observations {xn, ^i2, xi3,yid; i,,n, and you fit the following model, y Bi+Br2+Br+e that is yi A) +Ari,1 +Ari,2 +Buri,3 + єї where є,'s are independent normal distribution with mean zero and variance ơ2 . H the vectors of (Y1, . . . ,Yn). Assume the covariates are centered: Σίχί,,-0, k = 1,2,3. ere, n = 50, Let L are Assume, X'X is a diagonal matrix...
4) Consider n data points with 2 covariates and observation {xi,i, Vi,2, yi); i -1,... ,n, where yi 's are indicator variable for the experiment that is if a particular medicine is effective on some individual. Here, xi1 and ri.2 are age and blood pressure of i th individual, respectively. Our assumption is that the log odds ratio follows a linear model. That is p-P(i-1) and 10i b) What should be a good estimator for ?,A, e) Suppose. On, A,n...
1.Suppose an economy experiences a 4% increase in each of the following variables: N, K, and H (human capital). If the production function is Y=KαN(1-α)Hβ, where α<1 and β<1, we know with certainty that Y will increase by less than 4%. none of the other answers is correct Y will increase by less than 12% but by more than 4%. Y will increase by exactly 4%. Y will increase by more than 4%. 2. Why do banks maintain a certain...