Indicate for Which of the Following Examples You Cannot Use

question 30

Multiple Choice

Indicate for which of the following examples you cannot use Entity and Time Fixed Effects: a regression of

• A)OECD unemployment rates on unemployment insurance generosity for the period 1980-2006 (annual data).
• B)the (log of)earnings on the number of years of education, using the Current Population Survey of 60,000 households for March 2006.
• C)the per capita income level in Canadian Provinces on provincial population growth rates, using decade averages for 1960, 1970, and 1980.
• D)the risk premium of 75 stocks on the market premium for the years 1998-2006.

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Definitions:

Car Insurance

A type of insurance policy that provides financial protection against physical damage or bodily injury resulting from vehicle collisions and against liability that could also arise.

Brake Efficiency

A measure of how effectively a vehicle's braking system converts the driver's input into stopping power.

Insurance Policy

A contract between an individual or entity and an insurance company, detailing the terms for the payment of claims by the insurer to the insured.

Skid Mark

A mark that a tire leaves on the road when it is in a locked mode, that is, when the tire is not turning, but the car is continuing to move.