Suppose you estimate the effect of a treatment using a cross-sectional regression analysis as 10 while the true effect is 15.The difference of 5 represents which of the following?
A) measurement error
B) bias
C) small sample error
D) difference-in-difference estimation

Question

Quizplus · Accepted Answer

The difference of 5 represents the bias in the cross-sectional regression analysis as it is the difference between the estimated effect and the true effect.

Suppose You Estimate the Effect of a Treatment Using a Cross-Sectional