A Structural Break Occurs When We See

question 6

Multiple Choice

A structural break occurs when we see

• A)an unexpected shift in time-series data.
• B)a number of outliers in cross-section data.
• C)a general upward trend over time in time-series data.
• D)an independent variable is correlated with the dependent variable but there is no theoretical justification on for the relationship.

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Definitions:

Lose

To be deprived of something or fail to win, such as losing an object, game, or opportunity.

Past

The past refers to the time period that has already happened, contrasting with the present and future.

Accept

To receive or agree to take something offered or to acknowledge the truth or validity of something.

Who's

Short for "who is" or "who has," used in questions and relative clauses.