True, False, Uncertain with Explanation 1. [graded] The assumption that the erro
ID: 3277031 • Letter: T
Question
True, False, Uncertain with Explanation 1. [graded] The assumption that the errors in a regression model have a normal distribution is necessary to obtain the result that the least squares estimator for the slope is unbiased. 2. [gradcd] Thc correct interprctation of an cstimated regression cocfficient is the following: , is the effect of a unit change in X, on Y with all the other regressors moving in concert with Xj according to their sample correlations. [graded] There are 20 stores along Madison Avenue. I want to estimate the effect of weather on sales at the stores, so I run one regression for each store. In each I regress sales on weather conditions. Claim: I would cxpect to get one slopc cocfficient significantly different from zero at the 5% level even if all the true (population) slope coefficients are zero [graded] In the above regression, I should also include variables for whether or not each store is running a sale. Otherwise, omitting that variable will bias my coefficient estimates on weather conditions. 3. 4.Explanation / Answer
First statement is wrong.whatever be the distribution if errors if errors have expectation zero then OLS is unbiased.
First question is answered only