Omitted Variable Bias Is a Potential Problem Because It

question 29

Multiple Choice

Omitted variable bias is a potential problem because it

• A)prevents accurately estimating true marginal effects.
• B)results in estimated standard errors that are too large.
• C)results in inefficient parameter estimates.
• D)might highlight spurious correlations.

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Definitions:

Work Hard

The act of expending significant effort and dedication towards achieving goals or completing tasks.

Working With Others

Collaborating or co-operating with other people to achieve common goals or complete tasks.

Group Cohesiveness

The extent to which members of a group stick together and remain united in the pursuit of common goals.

Group Diversity

The inclusion of individuals from a variety of backgrounds, cultures, races, genders, and other identity markers within a group, contributing to a range of perspectives.