Which of the Following Will Cause Ordinary Least Square (OLS)

question 13

Multiple Choice

Which of the following will cause Ordinary Least Square (OLS) estimates of a simple regression model, y = + x + u to be biased?

• A)Every individual in the population has the same probability of being observed in the sample.
• B)The observed values of span a wide range.
• C)The constant, is greater than the coefficient, .
• D)The constant, is greater than the coefficient, x .

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Definitions:

Standard Form

An equation format, especially for linear equations, where Ax + By = C, where A, B, and C are integers, and A should be non-negative.

Imaginary Unit

The unit of an imaginary number, usually denoted as 'i', and defined as the square root of -1.

Standard Form

A way to write numbers using the digits 0-9, with each digit having a place value. In algebra, a standard form often refers to a way of writing equations.

Imaginary Unit

A mathematical term denoted as \(i\), used to represent the square root of -1, foundational in complex number theory.