When Calculating the TSLS Standard Errors

question 9

Multiple Choice

When calculating the TSLS standard errors

• A)you do not have to worry about heteroskedasticity, since it was eliminated in the first stage
• B)you can use the standard errors reported by OLS estimation of the second stage regression.
• C)the critical values from the standard normal table should be adjusted for the proper degrees of freedom.
• D)you should use heteroskedasticity-robust standard errors.

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Definitions:

Rock Springs Massacre

A violent racial conflict that occurred in 1885 in Rock Springs, Wyoming, where white coal miners killed numerous Chinese miners, highlighting racial tensions in the American West.

Chinese Immigrants

Individuals from China who move to another country, often for reasons including economic opportunity, education, or to escape political instability.

Racist Attitudes

Prejudiced beliefs or discriminatory behaviors based on race or ethnicity, often resulting in unequal treatment or social injustice.

William H. Seward

A prominent figure in American politics in the 19th century, known for his role as Secretary of State under Abraham Lincoln and Andrew Johnson, and for his purchase of Alaska from Russia, an act often termed "Seward's Folly."