When Collinear Variables Are Included in an Econometric Model Coefficient

question 4

Multiple Choice

When collinear variables are included in an econometric model coefficient estimates are

• A)biased downward and have smaller standard errors
• B)biased upward and have larger standard errors
• C)biased and the bias can be negative or positive
• D)unbiased but have larger standard errors

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Definitions:

Repeated Sequences

DNA segments that are present multiple times within a genome, including both tandem repeats and interspersed repeats.

Nucleotides

Organic molecules that serve as the monomers, or subunits, of nucleic acids like DNA and RNA, consisting of a nitrogenous base, a sugar, and one or more phosphate groups.

Microinjection

A technique used in molecular biology to deliver substances directly into cells by penetrating the cell membrane with a fine needle.

Transgenic Animals

Animals that have had foreign genes deliberately inserted into their genome.