Consider the Regression Equation = B₀ + B₁x

question 1

Multiple Choice

Consider the regression equation = b₀ + b₁x + b₂d with a dummy variable d.If d increases from 0 to 1,the change in the intercept is given by:

• A)b₀
• B)b₀ + b₁
• C)b₂
• D)b₀ + b₂

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The additional output a firm gains from employing one more unit of labor, holding all other inputs constant.

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