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If an omitted regressor is not correlated with the included variables, then the following OLS assumption is most likely violated by omitted variables bias: a. E(ui | Xi) = 0. b. (Xi, Yi) for i=1,..., n are i.i.d draws from their joint distribution. C. there are no outliers for Xi, ui. d. there is heteroskedasticity. e. All of the above. f. None of the above.

If an omitted regressor is not correlated with the included variables, then the following OLS assumption is most likely violated by omitted variables bias: a. E(ui | Xi) = 0. b. (Xi, Yi) for i=1,..., n are i.i.d draws from their joint distribution. C. there are no outliers for Xi, ui. d. there is heteroskedasticity. e. All of the above. f. None of the above.

Calculus For The Life Sciences
Calculus For The Life Sciences
2nd Edition
ISBN:9780321964038
Author:GREENWELL, Raymond N., RITCHEY, Nathan P., Lial, Margaret L.
Publisher:GREENWELL, Raymond N., RITCHEY, Nathan P., Lial, Margaret L.
Chapter13: Probability And Calculus
Section13.CR: Chapter 13 Review
Problem 43CR
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If an omitted regressor is not correlated with the included variables, then the following OLS assumption is most likely violated by omitted variables bias: a. E(ui | Xi) = 0. b. (Xi, Yi) for i=1,..., n are i.i.d draws from their joint distribution. C. there are no outliers for Xi, ui. d. there is heteroskedasticity. e. All of the above. f. None of the above.
Transcribed Image Text:If an omitted regressor is not correlated with the included variables, then the following OLS assumption is most likely violated by omitted variables bias: a. E(ui | Xi) = 0. b. (Xi, Yi) for i=1,..., n are i.i.d draws from their joint distribution. C. there are no outliers for Xi, ui. d. there is heteroskedasticity. e. All of the above. f. None of the above.
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