Which of the following can cause the usual OLS t statistics to be invalid (that is, not to have t distributions under H0)?(i) Heteroskedasticity.(ii) A sample correlation coefficient of .95 between two independent variables that are in the model.(iii) Omitting an important explanatory variable.
Which of the following can cause the usual OLS t statistics to be invalid (that is, not to have t distributions under H0)?(i) Heteroskedasticity.(ii) A sample correlation coefficient of .95 between two independent variables that are in the model.(iii) Omitting an important explanatory variable.
Glencoe Algebra 1, Student Edition, 9780079039897, 0079039898, 2018
18th Edition
ISBN:9780079039897
Author:Carter
Publisher:Carter
Chapter10: Statistics
Section10.1: Measures Of Center
Problem 9PPS
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Which of the following can cause the usual OLS t statistics to be invalid (that is, not to have t distributions under H0)?
(i) Heteroskedasticity.
(ii) A sample
(iii) Omitting an important explanatory variable.
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