Homework Answers
Please give thumb's up if you
are satisfied. Thank you in advance.
Add Answer to:
Consider the following simple regression model: a. Suppose that OLS assumptions 1 to 4 hold true. We know that homoskedasticity assumption is statedas: Var[UjIx] = σ2 for all i Now, suppose that...
Suppose assumptions SLR.1-SLR.3 are satisfied and consider a regression model of savings (sav) on income (inc):...
Suppose assumptions SLR.1-SLR.3 are satisfied and consider a regression model of savings (sav) on income (inc): inc2 xe B1inc + u, where u = Bo sav = Suppose e is a random variable with the following properties: E(einc) 0 Var(elinc) a) Does this regression satisfy the zero conditional mean b) Does this regression satisfy the homoskedasticity assumption (SLR.5)? c) In the real world, why might the variance of savings depend on income? assumption (SLR.4)?
4. Consider the regression model, y1B22+ BKiK+ei -.. where errors may be heteroskedastic. Choose the most incorrect sta...
4. Consider the regression model, y1B22+ BKiK+ei -.. where errors may be heteroskedastic. Choose the most incorrect statement (a) The OLS estimators are consistent and unbiased (b) We should report the OLS estimates with the robust standard errors (c) The Gauss-Markov theorem may not apply (d) The GLS cannot be used because we do not know the error variances in practice (e) We should take care of heteroskedasticity only if homoskedasticity is rejected Consider the regression model, +BKIK+et e pet-1+...
4. Suppose we run a regression model Y = β0+AX+U when the true model is Y-a0+ α1X2 + V. Assume th...
a,b,c,d
4. Suppose we run a regression model Y = β0+AX+U when the true model is Y-a0+ α1X2 + V. Assume that the true model satisfies all five standard assumptions of a simple regression model discussed in class. (a) Does the regression model we are running satisfy the zero conditional mean assumption? (b) Find the expected value of A (given X values). (e) Does the regression model we are running satisfy homoscedasticity? d) Find the variance of pi (given X...
Question 1 Consider the simple regression model (only one covariate): y= BoB1 u Let B1 be the OLS estimator of B1. a) W...
Question 1 Consider the simple regression model (only one covariate): y= BoB1 u Let B1 be the OLS estimator of B1. a) What are the six assumptions needed for B1 to be unbiased, have a simple expression for its variance, and have normal distribution? (3 points) b) Under Assumptions 1-6, derive the distribution of B1 conditional on x\,..., xn. (3 points) In lecture we described how to test the null hypothesis B1 bo against the alternative hypothesis B1 bo, where...
4. (12 pts) Suppose that (Y, X:) satisfy the three assumptions we made in the regression...
4. (12 pts) Suppose that (Y, X:) satisfy the three assumptions we made in the regression analysis, and in addition, u; is N(0,0%) and is independent of Xi. A random sample of size n = 32 is drawn and yields Y = 43.2 + 61.5 x X, R' = 0.54, SER= 1.52 (10.2) (7.4) where the numbers in parentheses are the homoskedastic-only standard errors for the regression coefficients. (i) Construct a 99% confidence interval for 3. (ii) Test H, :...
QUESTION 1 Consider the following OLS regression line (or sample regression function): wage =-2.10+ 0.50 educ...
QUESTION 1 Consider the following OLS regression line (or sample regression function): wage =-2.10+ 0.50 educ (1), where wage is hourly wage, measured in dollars, and educ years of formal education. According to (1), a person with no education has a predicted hourly wage of [wagehat] dollars. (NOTE: Write your answer in number format, with 2 decimal places of precision level; do not write your answer as a fraction. Add a leading minus sign symbol, a leading zero and trailing...
1. In the simple regression model y = + β1x + u, suppose that E (u)...
1. In the simple regression model y = + β1x + u, suppose that E (u) 0. Letting oo-E(u), show that the model can always be rewrit ten with the same slope, but a new intercept and error, where the new error has a zero expected value 2. The data set BWGHT contains data on births to women in the United States. Two variables of interest are the dependent variable, nfan birth weight in ounces (bught), and an explanatory variable,...
Need help with stats true or false questions Decide (with short explanations) whether the following statements are true or false a) We consider the model y-Ao +A(z) +E. Let (-0.01, 1.5) be a 95% con...
Need help with stats true or false questions
Decide (with short explanations) whether the following statements are true or false a) We consider the model y-Ao +A(z) +E. Let (-0.01, 1.5) be a 95% confidence interval for A In this case, a t-test with significance level 1% rejects the null hypothesis Ho : A-0 against a two sided alternative. b) Complicated models with a lot of parameters are better for prediction then simple models with just a few parameters c)...
Suppose assumptions SLR.1-SLR.3 are satisfied and consider a regression model of savings (sav) on income (inc): inc2 xe B1inc + u, where u = Bo sav = Suppose e is a random variable with the following properties: E(einc) 0 Var(elinc) a) Does this regression satisfy the zero conditional mean b) Does this regression satisfy the homoskedasticity assumption (SLR.5)? c) In the real world, why might the variance of savings depend on income? assumption (SLR.4)?
4. Consider the regression model, y1B22+ BKiK+ei -.. where errors may be heteroskedastic. Choose the most incorrect statement (a) The OLS estimators are consistent and unbiased (b) We should report the OLS estimates with the robust standard errors (c) The Gauss-Markov theorem may not apply (d) The GLS cannot be used because we do not know the error variances in practice (e) We should take care of heteroskedasticity only if homoskedasticity is rejected Consider the regression model, +BKIK+et e pet-1+...
a,b,c,d
4. Suppose we run a regression model Y = β0+AX+U when the true model is Y-a0+ α1X2 + V. Assume that the true model satisfies all five standard assumptions of a simple regression model discussed in class. (a) Does the regression model we are running satisfy the zero conditional mean assumption? (b) Find the expected value of A (given X values). (e) Does the regression model we are running satisfy homoscedasticity? d) Find the variance of pi (given X...
Question 1 Consider the simple regression model (only one covariate): y= BoB1 u Let B1 be the OLS estimator of B1. a) What are the six assumptions needed for B1 to be unbiased, have a simple expression for its variance, and have normal distribution? (3 points) b) Under Assumptions 1-6, derive the distribution of B1 conditional on x\,..., xn. (3 points) In lecture we described how to test the null hypothesis B1 bo against the alternative hypothesis B1 bo, where...
4. (12 pts) Suppose that (Y, X:) satisfy the three assumptions we made in the regression analysis, and in addition, u; is N(0,0%) and is independent of Xi. A random sample of size n = 32 is drawn and yields Y = 43.2 + 61.5 x X, R' = 0.54, SER= 1.52 (10.2) (7.4) where the numbers in parentheses are the homoskedastic-only standard errors for the regression coefficients. (i) Construct a 99% confidence interval for 3. (ii) Test H, :...
QUESTION 1 Consider the following OLS regression line (or sample regression function): wage =-2.10+ 0.50 educ (1), where wage is hourly wage, measured in dollars, and educ years of formal education. According to (1), a person with no education has a predicted hourly wage of [wagehat] dollars. (NOTE: Write your answer in number format, with 2 decimal places of precision level; do not write your answer as a fraction. Add a leading minus sign symbol, a leading zero and trailing...
1. In the simple regression model y = + β1x + u, suppose that E (u) 0. Letting oo-E(u), show that the model can always be rewrit ten with the same slope, but a new intercept and error, where the new error has a zero expected value 2. The data set BWGHT contains data on births to women in the United States. Two variables of interest are the dependent variable, nfan birth weight in ounces (bught), and an explanatory variable,...
Need help with stats true or false questions
Decide (with short explanations) whether the following statements are true or false a) We consider the model y-Ao +A(z) +E. Let (-0.01, 1.5) be a 95% confidence interval for A In this case, a t-test with significance level 1% rejects the null hypothesis Ho : A-0 against a two sided alternative. b) Complicated models with a lot of parameters are better for prediction then simple models with just a few parameters c)...
Most questions answered within 3 hours.
-
OK, now you're all mixed up and you slam into the wall with your
car (total...
asked 2 minutes ago -
1. A.Explain why the spread (variance) of a sampling
distribution for estimating a mean would be...
asked 8 minutes ago -
1a) It is desired to inflate a baggie with a volume of
936 milliliters by filling...
asked 6 minutes ago -
Simpson Inc. has a cash flow of $750,000 to be received during
the next three years,...
asked 6 minutes ago -
Homologous Recombination Lecture
Molecular Biology
The ability for yeast and E. coli to do
homologous recombination...
asked 24 minutes ago -
A single pass heat exchanger is used to cool milk from 65 C to
20 C...
asked 24 minutes ago -
A water pistol aimed horizontally projects a stream of water
with an initial speed of 7.20...
asked 27 minutes ago -
Language: Python
Function name : findwaldo
Parameters : string
Returns: int
Description: Write a recursive function...
asked 46 minutes ago -
1) A loan of RM 10,000 at a flat rate of 10% per annum was
repaid...
asked 52 minutes ago -
Suppose you have been following a particular airline stock for
many years. You are interested in...
asked 58 minutes ago -
Describe the organic pasta: Is it a normal/inferior
good? Is it a necessity/luxury? Does it have...
asked 1 hour ago -
Are Republicans just as likely as Democrats to display the
American flag in front of their...
asked 1 hour ago