Consider the Following Regression Model: Log(y)= β₀+ β₁x₁+ β₂x₁²

question 9

Multiple Choice

Consider the following regression model: log(y) = β₀+ β₁x₁+ β₂x₁² + β₃x₃+ u.This model will suffer from functional form misspecification if _____.

• A)β₀ is omitted from the model
• B)u is heteroskedastic
• C)x₁² is omitted from the model
• D)x₃ is a binary variable

---

Definitions:

Networking Opportunities

Chances or situations where individuals can interact with others to exchange information and develop professional or social contacts.

Instant Messaging

Instant messaging is a form of real-time communication through text messages sent over the internet between two or more people.

Microblogs

Online platforms that allow users to post short messages or updates, often shared with a wide audience or followers.

Short Messages

Concise forms of communication typically aimed at conveying information quickly and effectively.