Which of the Following Is a Proper Procedure for Testing $\rho$

question 17

Multiple Choice

Which of the following is a proper procedure for testing for autocorrelation in a panel data model without a lagged dependent variable?

• A) Run a model that does not address autocorrelation and test for autocorrelated errors based on the residuals from that model.
• B) Run a \(\rho\)-transformed model and test for autocorrelated errors based on the residuals from that model.
• C) Assess whether there is a different intercept for each unit.
• D) Run a probit or logit model and test for autocorrelated errors based on the residuals from that model.

---

Definitions:

Emotions

Complex psychological states that involve physiological arousal, expressive behaviors, and conscious experience.

Cognitions

Mental processes involved in gaining knowledge and comprehension, including thinking, knowing, remembering, judging, and problem-solving.

Others' Experiences

The knowledge or insight gained from understanding or learning about the events, actions, or feelings that other people have undergone.

LaPiere's Study

A research project conducted in the early 1930s exploring the relationship between attitudes and behaviors, particularly in the context of prejudice and discrimination.