Nadya is worried about poor people disproportionately ex model where pollution in the area is regressed on average number of pro-environmental voters in the area. She also H depends on pollution in the area, and the number of good the variables are significant and there are no other omitted variables, can Nadya use Indirect Least Squares in this sett

MATLAB: An Introduction with Applications
6th Edition
ISBN:9781119256830
Author:Amos Gilat
Publisher:Amos Gilat
Chapter1: Starting With Matlab
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Nadya is worried about poor people disproportionately exposed to pollution. She suggests the
model where pollution in the area is regressed on average housing price in that area, and the
number of pro-environmental voters in the area. She also knows that housing price in the area
depends on pollution in the area, and the number of good schools in this area. Assuming that all
the variables are significant and there are no other omitted variables affecting the dependent
variables, can Nadya use Indirect Least Squares in this setting?
O True
O False
Transcribed Image Text:Nadya is worried about poor people disproportionately exposed to pollution. She suggests the model where pollution in the area is regressed on average housing price in that area, and the number of pro-environmental voters in the area. She also knows that housing price in the area depends on pollution in the area, and the number of good schools in this area. Assuming that all the variables are significant and there are no other omitted variables affecting the dependent variables, can Nadya use Indirect Least Squares in this setting? O True O False
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