Business, 03.07.2020 21:01 southsan2021
State with reasons whether the following statements are true or false:
a. Despite perfect multicollinearity, OLS estimators are BLUE.
b. In case of high multicollinearity, it is not possible to assess the individual significance of one or more partial regression coefficients.
c. High pair-wise correlations do not suggest that there is high multi-collinearity.
d. Ceteris Paribus, the higher the VIF is, the larger the variances of OLS estimators.
Answers: 3
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State with reasons whether the following statements are true or false:
a. Despite perfect multicoll...
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