If the decision to include average tenure at the company as a control variable in an attempt to estimate if West coast store locations are outperforming store locations in the rest of the country (i.e., the regression, StoreProfitsi = ?0 + ?1West Coasti + ?2Avg.Tenurei + Ui), which of the following conditions need to be true in order for the estimate of ?1 to be the same regardless of whether Avg. Tenure is used as a control or not?
A. The semi-partial correlation of Store Profits on West Coast holding Avg. Tenure fixed is zero.
B. The p-value on average tenure is above 0.10
C. Average tenure and West Coast are uncorrelated.
D. The p-value on average tenure is low.
Answer: C
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