For W to Be an Effective Control Variable in IV

question 4

Multiple Choice

For W to be an effective control variable in IV estimation,the following condition must hold

• A)E(ui)= 0
• B)E(ui|Zi,Wi)= E(ui|Wi)
• C)E(uiuj)≠ 0
• D)there must be an intercept in the regression

---

Definitions:

Talent Pool

A database or list of potential candidates that an organization can draw from when filling positions.

Succession Planning

The strategy of identifying and developing internal personnel with the potential to fill key business leadership positions in the organization.

Replacement Planning

A part of succession planning focused on identifying and preparing suitable employees to replace key positions within an organization.

Managerial Positions

Roles within an organization that involve oversight, decision-making, and leadership responsibilities over teams or departments.