Cov (U_it, U_is | X_it, X_is = 0 for T

question 50

Multiple Choice

cov (u_it, u_is | X_it, X_is = 0 for t ? s means that

• A)there is no perfect multicollinearity in the errors.
• B)division of errors by regressors in different time periods is always zero.
• C)there is no correlation over time in the residuals.
• D)conditional on the regressors, the errors are uncorrelated over time.

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