Suppose You Have Two Departments and Have Daily Data on Complaints

question 16

Multiple Choice

Suppose you have two departments and have daily data on complaints and number of products they oversee for the departments over two years. In the second year, you increased the number of products under the scope of department #2 by 10. To estimate the effect of this increase in the number of products, you estimate the following regression: Complaints_it = α + β₁ × Department #2_it + β₂ × Year2_it + β₃ × Department #2_it × Year2_it + U_it. In this regression, what is the "diff-in-diff"?

• A) α + β₁
• B) β₁ + β₃
• C) α + β₃
• D) β₃

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Definitions:

Emotional Intelligence

The skill to comprehend, regulate, and communicate one's emotional state, alongside the capability to manage social interactions with discretion and empathy.

Decision Making

The cognitive process of selecting a course of action from among multiple alternatives, often involving considerations of risk, benefit, and personal values.

Emotional Intelligence

The ability to understand, use, and manage your own emotions in positive ways to relieve stress, communicate effectively, empathize with others, overcome challenges, and defuse conflict.

Sleep-Waking Cycles

The biological rhythm of sleep and wakefulness, typically operating on a 24-hour cycle.