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1. If OLS estimators satisfy asymptotic normality, it implies that a. they are approximately normally distributed b. they are

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Answer #1

1) Ans - Option A

  • The answer is that they are approximately normally distributed in large enough sample sizes.
  • Asymptotic normality is a function of probability distribution(sequence)
  • The OLS estimators are asymptotically normal meaning that they are approximately normally distributed in large enough sample sizes.

2) Option D

  • There is no correlation between independent variables and the error term.
  • In a multilinear model, the OLS estimator is consistent if the independent variables has no correlation between them.

as HOMEWORKLIB RULES we can answer only 1 question i did 2 for you. For the rest i will just give you options.

Q3- Option C

  • Biased and inconsistent.

Q4 - Option C

  • The answer is by subtracting off its mean and dividing by its standard deviation.

Q5- Option A

  • Beta coefficients
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