Mathematics, 27.11.2019 20:31 jayjay5246
Consider the multiple regression model with two regressors x1 and x2, where both variables are determinants of the dependent variable y. you first regress y on x1 and find no relationship. however, while regressing y on x1 and x2 the slope coefficient of the variable x1 changes by a large amount. this suggests that your first regression suffers from: a. perfect multicollinearityb. dummy variable trapc. omitted variable biasd. heteroskedasticity
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Consider the multiple regression model with two regressors x1 and x2, where both variables are deter...
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