Suppose the variable
has been omitted from the following regression equation, 
is the estimator obtained when
src="@@PLUGINFILE@@/ppg__cognero__Ch_03_Multiple_Regression_Analysis_Estimation__media__70014c5f-f839-4657-b538-a779591b542f.PNG" style="vertical-align:-9px;" height="25px" width="17px" /> is omitted from the equation. If is said to _____.
A. have an upward bias
B. have a downward bias
C. be unbiased
D. be biased toward zero
Answer: A
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The above table gives the demand schedule for Billy Bob's BBQ ribs. The demand for Billy Bob's ribs over the price range of $1 per pound to $3 per pound is
A) perfectly elastic. B) elastic. C) unit elastic. D) inelastic.
To price discriminate, firms must face markets with different elasticities
Indicate whether the statement is true or false
According to Lerner, if we do not know people's utility functions, we
a. cannot engage in redistributing incomes among people b. can still assume that the marginal utility of a dollar for the rich is higher than for the poor c. make less of a mistake by assuming that they are equal d. should let the market determine the distribution of income e. should assume they are unequal because it is the most likely
The new tools of monetary policy that the Fed employed included
A. nondiscretionary fiscal policy. B. discretionary fiscal policy. C. the sustained purchase of mortgage-backed securities. D. focusing exclusively on the traditional tools of monetary policy.