If, in Addition to the Least Squares Assumptions Made in the Previous

question 8

Multiple Choice

If, in addition to the least squares assumptions made in the previous chapter on the simple regression model, the errors are homoskedastic, then the OLS estimator is

• A)identical to the TSLS estimator.
• B)BLUE.
• C)inconsistent.
• D)different from the OLS estimator in the presence of heteroskedasticity.

---

Definitions:

Financial Statements

Documents that provide an overview of a company's financial condition, including income statement, balance sheet, statement of cash flows, and statement of retained earnings, used by stakeholders to assess financial health.

Rights and Obligations

Refers to the legal entitlements and duties that are inherent in various types of relationships, contracts, and transactions.

After the Contract

After the contract typically refers to events, obligations, or conditions that occur or are expected to be met following the completion of a contractual agreement.

Conflict of Interest

A situation where an individual's or entity's personal interests could potentially influence their professional decisions or actions.