In the Simple Linear Regression Model, Y = $\alpha$ $\beta$ X + E,
A)the Errors Are Assumed to Be as \beta

question 4

Multiple Choice

In the simple linear regression model, Y = $\alpha$ + $\beta$ X + e,

• A)the errors are assumed to be as likely to occur above the line as below the line.
• B)the errors are assumed to be more likely to occur above the line than below it.
• C)the errors are assumed to be more likely to occur below the line than above it.
• D)it is assumed that the error is larger for larger values of X.
• E)it is assumed that the error is smaller for larger values of X.