Which of the Following Is a Difference Between Least Absolute

question 27

Multiple Choice

Which of the following is a difference between least absolute deviations (LAD) and ordinary least squares (OLS) estimation?

• A)OLS is more computationally intensive than LAD.
• B)OLS is more sensitive to outlying observations than LAD.
• C)OLS is justified for very large sample sizes while LAD is justified for smaller sample sizes.
• D)OLS is designed to estimate the conditional median of the dependent variable while LAD is designed to estimate the conditional mean.

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Definitions:

West Africa

A region located in the western part of the African continent, consisting of countries along the Atlantic Ocean and Sahara Desert.

Infectious Disease

Diseases caused by pathogens such as bacteria, viruses, fungi, or parasites that can be spread, directly or indirectly, from one person to another.

Statistica Neerlandica

A peer-reviewed scientific journal covering research in the field of statistics and its applications.

West African Countries

Nations located in the western region of the African continent, including Nigeria, Ghana, Senegal, and others.