In regression analysis, which of the following is not a required assumption about the error term $\varepsilon$?
A)The expected value of the error term is one.
B)The variance of the error term is the same for all values of X.
C)The values of the error term are independent.
D)The error term is normally distributed.

Question

Quizplus · Accepted Answer

The expected value of the error term does not need to be a specific value, it can be any value. The required assumptions about the error term are that it has constant variance, is independent, and is normally distributed.

In Regression Analysis, Which of the Following Is Not a Required