The random effects estimate is identical to the fixed effects estimate if the estimated transformation parameter , , in generalized least squares estimation that eliminates serial correlation between error terms is, _____.
A)less than zero
B)equal to zero
C) equal to one
D) greater than one

Question

The random effects estimate is identical to the fixed effects estimate if the estimated transformation parameter ,  , in generalized least squares estimation that eliminates serial correlation between error terms is, _____.
A)less than zero 
B)equal to zero 
C) equal to one 
D) greater than one

Quizplus · Accepted Answer

The random effects estimate is identical to the fixed effects estimate if the estimated transformation parameter, 11eab06d_254b_f4be_beed_53b2698c6aed_TB2133_11 , in generalized least squares estimation that eliminates serial correlation in error terms, is equal to one.

The Random Effects Estimate Is Identical to the Fixed Effects