Whenever there is strong heteroskedasticity, it is preferable to use OLS rather than WLS, which may use a possibly misspecified variance function
Answer the following statement true (T) or false (F)
False
Rationale: While WLS is not guaranteed to be more efficient than OLS when the variance function is misspecified, with strong heteroskedasticity, it is still preferable to apply WLS using a possibly incorrect variance function than to use OLS, ignoring heteroskedasticity altogether.
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