Multiple Choice
Suppose the variable has been omitted from the following regression equation,
is the estimator obtained when
is omitted from the equation. The bias in
is negative if _____.
A) >0 and
and
are positively correlated
B) <0 and
and
are positively correlated
C) =0 and
and
are negatively correlated
D) =0 and
and
are negatively correlated
Correct Answer:
Verified
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