Which of the Following Statements Is True

question 6

Multiple Choice

Which of the following statements is true?

• A)To carry out OLS estimation, it is necessary that the error terms should be correlated with the explanatory variables.
• B)Measurement error and simultaneity are potential sources of endogeneity.
• C)While entering data for a regression analysis, qualitative explanatory variables should be assigned numerical values.
• D)AR models are best suited for ordered responses.

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Definitions:

Urban University

An institution of higher education located in a city environment, often offering distinct opportunities and challenges compared to rural institutions.

Market-product Combinations

Specific matches of products (or services) with markets to effectively satisfy customer needs and organizational goals.

Product Groupings

The organization of products into categories based on similarities in function, target market, or other attributes, often to optimize marketing strategies.

Time Utility

The increase in the value of a product or service provided by making it available at a convenient time for the consumer.