Fortunately, even in cases where we suffer from an omitted variable bias, it is often the case that with careful reasoning it is possible to:
A) sign the bias.
B) make the size of bias not statistically significant from zero.
C) report appropriately adjusted standard errors.
D) construct alternative p-values.

Question

Quizplus · Accepted Answer

Signing the bias involves making an informed guess about the direction of the bias caused by the omitted variable. This is possible through careful reasoning and understanding of the underlying relationships between the variables involved.

Fortunately, Even in Cases Where We Suffer from an Omitted