Autocorrelation of the Error Terms

question 17

Multiple Choice

Autocorrelation of the error terms

• A)makes it impossible to calculate homoskedasticity only standard errors.
• B)causes OLS to be no longer consistent.
• C)causes the usual OLS standard errors to be inconsistent.
• D)results in OLS being biased.

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Definitions:

Challenges

Difficulties or obstacles that require effort, strategy, and resilience to overcome.

Stakeholder Groups

Collections of individuals or organizations that have an interest, right, or ownership in a company and can affect or be affected by the business' actions.

Organization's Mistakes

Errors or miscalculations made by a business or an entity that can lead to setbacks or challenges but also offer opportunities for learning and improvement.

Probability of Effect

The likelihood that a specific outcome or impact will occur as a result of a certain action or event.