Which of the Following Statements Is True

question 1

Multiple Choice

Which of the following statements is true?

• A)The calculated t statistic is valid and efficient in case of a spurious regression.
• B)If an explanatory variable or a dependent variable is integrated of the order one, the OLS estimators are asymptotically normally distributed.
• C)An error correction model can be used to study the short-run dynamics in the relationship between the dependent variable and the explanatory variables in a time series model.
• D)The Dickey-Fuller test can be used to test for heteroskedasticity in the error terms.

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