(a)Heteroscedasticity can lead to A. smaller t values B. all of the statements are correct C. larger t values D. more narrow confidence intervals E. wider confidence intervals F. none of the statements is correct (b)Homoscedasticity is likely to be found in regressions dealing with A. high income countries only B. All the options are correct C. None of the options is correct D. low income countries only E. medium income countries only
(a)Heteroscedasticity can lead to A. smaller t values B. all of the statements are correct C. larger t values D. more narrow confidence intervals E. wider confidence intervals F. none of the statements is correct (b)Homoscedasticity is likely to be found in regressions dealing with A. high income countries only B. All the options are correct C. None of the options is correct D. low income countries only E. medium income countries only
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Question
(a)Heteroscedasticity can lead to
A. smaller t values
B. all of the statements are correct
C. larger t values
D. more narrow confidence intervals
E. wider confidence intervals
F. none of the statements is correct
(b)Homoscedasticity is likely to be found in regressions dealing with
A. high income countries only
B. All the options are correct
C. None of the options is correct
D. low income countries only
E. medium income countries only
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