The Test for Overidentifying Restrictions Is Valid If _____

question 29

Multiple Choice

The test for overidentifying restrictions is valid if _____.

• A)the regression model exhibits heteroskedasticity
• B)the regression model exhibits homoskedasticity
• C)the number of instrumental variables are less than the number of endogenous explanatory variables
• D)the number of instrumental variables are just enough for obtaining consistent estimators

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Definitions:

Absolute Refractory Period

A time interval after an action potential during which another action potential cannot be initiated, regardless of the strength of the stimulus.

Millivolts

A unit of electric potential equal to one thousandth of a volt, commonly used in measuring the strength of electrical signals.

Electrical Charge

A physical property that causes matter to experience a force when placed in an electromagnetic field.

Neuron

A nerve cell, responsible for the conveyance of nerve impulses, functioning in the nervous system.