The 95% Confidence Interval for the Dynamic Multipliers Should Be

question 26

Multiple Choice

The 95% confidence interval for the dynamic multipliers should be computed by using the estimated coefficient ±

• A)1.96 times the RMSFE.
• B)1.96 times the HAC standard errors.
• C)1.96, since the HAC errors are standardized.
• D)1.64 times the HAC standard errors since the alternative hypothesis is one-sided.

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