When Autocorrelation Is Present, One of the Assumptions of the Regression

question 18

Multiple Choice

When autocorrelation is present, one of the assumptions of the regression model is violated and that assumption is?

• A) ?the expected value of the error term \(\Sigma\) is zero.
• B) ?the variance of the error term \(\Sigma\) is the same for all values of x.
• C) ?the values of the error term \(\Sigma\)are independent.
• D) ?the values of the error term \(\Sigma\)are normally distributed for all values of x.

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Definitions:

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Legal or moral responsibilities and duties that an entity is required to fulfill.

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Perfect Tender Rule

A standard that requires the seller to deliver goods in conformity with the terms of the contract, without any defects or deviations.

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