All of the following are assumptions of the error terms in the simple linear regression model except:
A)Errors are normally distributed.
B)Error terms have a mean of zero.
C)Error terms have a constant variance.
D)Error terms are dependent on each other.

Question

Quizplus · Accepted Answer

The assumption regarding error terms being dependent on each other is not part of the assumptions of the simple linear regression model. The assumption is that the errors are independent of each other. The other three assumptions (normal distribution, zero mean, and constant variance) are part of the standard assumptions of the simple linear regression model.

All of the Following Are Assumptions of the Error Terms