3 QUESTION 4Which one of the following statements is true for a linear regression model with non-spherical disturbances (i.e. E(uu') = 2):O The GLS estimator covariance matrix is unreasonable.The OLS estimator is not consistent.O The standard formula for the OLS estimator covariance matrix is incorrect.O The GLS estimator is not consistent.O All of the above.O None of the above.QUESTION 5Under the non-spherical disturbance assumption (i.e. E(uu') = Q), which one of the following is the correct covariance matrix of the OLS estimator?Dx)א א(K'איאo2xx)-1(X'X)-1All of the above.O None of the above.QUESTION 6With Panel Data, if we assume that the individual effects vj are correlated with the regressors Xịt (i.e. E(vi|Xit) # 0), which one of the following statements is correct:O The Fixed Effects estimator is not consistent.O Both the OLS and the Random Effects estimators are not consistent.O The OLS estimator is not consistent, but the Random Effects estimator is consistent.O The OLS estimator is consistent, but the Random Effects estimator is not consistent.All of the above.O None of the above.о о о о ооO O O O O

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QUESTION 4 Which one of the following statements is true for a linear regression model with non-spherical disturbances (i.e. E(uu') = Q): O The GLS estimator covariance matrix is unreasonable. The OLS estimator is not consistent. The standard formula for the OLS estimator covariance matrix is incorrect. The GLS estimator is not consistent. O All of the above. None of the above.

QUESTION 4 Which one of the following statements is true for a linear regression model with non-spherical disturbances (i.e. E(uu') = Q): O The GLS estimator covariance matrix is unreasonable. The OLS estimator is not consistent. The standard formula for the OLS estimator covariance matrix is incorrect. The GLS estimator is not consistent. O All of the above. None of the above.

Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)

14th Edition

ISBN:9781305506381

Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Chapter4A: Problems In Applying The Linear Regression Model

Section: Chapter Questions

Problem 2E

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