THE NEXT QUESTIONS ARE BASED ON THE FOLLOWING INFORMATION

question 76

Multiple Choice

THE NEXT QUESTIONS ARE BASED ON THE FOLLOWING INFORMATION:
Consider the following model: Y = β₀ + β₁X_1t + β₂X_2t + γY_t-1.Suppose we increase X₁ by one unit in time period t,with all other independent variables in the model held fixed.
-What is the expected increase in the dependent variable in time period (t + 1) ?

• A)β₁γ
• B)β₁γ³
• C)β₁γ²
• D)β₁ + β₀

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Definitions:

Chi-square Statistic

A measure used in statistics to assess how expectations compare to actual observed data, particularly in the context of categorical variables.

Observed Frequencies

The actual number of occurrences of each category in statistical data.

Expected Frequencies

The anticipated counts in each category of a contingency table under the assumption that the null hypothesis is true, calculated from the proportions in the total sample.

Chi-square Statistic

A statistical measure used to assess the differences between observed and expected frequencies in one or more categories.