Deck 4: Econometrics and Regression Analysis

Question 1

Homoscedasticity means------ for disturbances

A)equal mean
B)equal variance
C)zero mean
D)none of the above

Answer 1

equal variance

Question 2

The literal meaning of econometrics is

A)estimation
B)economic measurement
C)forecasting
D)testing

Answer 2

economic measurement

Question 3

Economic theory makes statements that are mostly

A)quantitative
B)qualitative
C)positive
D)none of the above

Answer 3

qualitative

Question 4

In the function, Q= ?+?P, the intercept coefficient is

A)?
B)?
C)p
D)q

Question 5

Heteroscedasticity implies

A)equal spread
B)unequal spread
C)equal mean
D)equal variance

Question 6

Given any two X values the classical linear regression model assumes the correlation between the disturbances as

A)one
B)infinity
C)negative
D)zero

Question 7

which is the dependent variable in the Keynesian consumption function

A)income
B)consumption
C)price
D)output

Question 8

in the regression context, the OLS estimators are BLUE according to

A)central limit theorem
B)gauss markov theorem
C)young theorem
D)fisher's theorem

Question 9

The summary measure used to measure the goodness of fit of a regression line

A)coefficient of determination
B)coefficient of variation
C)standard error d standar
D)deviation

Question 10

The numerical value of coefficient of determination lies between

A)-1 and 1
B)0 and 1
C)-? to +?
D)-? to 1

Question 11

The classical theory of statistical inference consists of

A)estimation and hypothesis testing
B)regression and correlation
C)averages and dispersion
D)none of the above

Question 12

The rejecting of a true hypothesis is called

A)type i error
B)type ii error
C)standard error
D)point estimation

Question 13

Which of the following is used to measure the degree of association between two variables

A)coefficient of determination
B)coefficient of correlation
C)standard error d standar
D)deviation

Question 14

The accepting of a false hypothesis is called

A)type i error
B)type ii error
C)standard error
D)point estimation

Question 15

The larger the standard error, the ----- the width of the confidence interval

A)smaller
B)larger
C)infinity
D)cannot calculate

Question 16

-? represents:

A)Diminishing returns to scale
B)Increasing returns to scale
C)Constant returns to scale
D)None of the above

Question 17

_____ is the best criteria to judge the validity of a model :

A)Assumptions
B)Information it provides
C)Its simplicity
D)predictive power

Question 18

The given function f (x) = ax + b, is an example of ____ function:

A)quadratic
B)polynomial
C)linear
D)rational

Question 19

The given function f (x) = ax2 + bx + c , is an example of ____ function:

A)quadratic
B)polynomial
C)linear
D)rational

Question 20

For a utility function u = xy + 3x + 4y, marginal utility of good x is:

A)xy + 3x + 4y
B)y + 3
C)x + 4
D)y + 3x

Question 21

Given a consumption function C = 250 + 0.75Yd, autonomous consumption is ____

A)0.75
B)0
C)250
D)-0.75

Question 22

For a total cost function TC = 1.5Q2 + 4Q + 46, MC is :

A)1.5Q + 4 +
B)1.5Q + 4
C)1.5Q
D)4Q + 46

Question 23

Abstraction from reality is made based on :

A)assumptions
B)prediction
C)theory
D)hypothesis

Question 24

____ is a simplified description of reality, designed to yield hypothesis about economic behaviour that can be tested.

A)theory
B)postulate
C)proposition
D)economic model

Question 25

____ models are mathematical models designed to be used with data.

A)Empirical
B)Visual
C)Mathematical
D)Simulation