QUESTION 9 Having many relevant instruments: O a. is good because they provide more information. bis a problem because instead of being just identified, the regression now becomes overidentified. O typically results in larger standard errors for the TSLS estimator d is not as important for inference as having the same number of endogenous variables as instruments. All of the above. None of the above. Of QUESTION 10 Which one of the following statements is true: af E(X)* 0, OLS is an inconsistent estimator. ObFZ and ComX 240 then 7 is a valid instrument
QUESTION 9 Having many relevant instruments: O a. is good because they provide more information. bis a problem because instead of being just identified, the regression now becomes overidentified. O typically results in larger standard errors for the TSLS estimator d is not as important for inference as having the same number of endogenous variables as instruments. All of the above. None of the above. Of QUESTION 10 Which one of the following statements is true: af E(X)* 0, OLS is an inconsistent estimator. ObFZ and ComX 240 then 7 is a valid instrument
MATLAB: An Introduction with Applications
6th Edition
ISBN:9781119256830
Author:Amos Gilat
Publisher:Amos Gilat
Chapter1: Starting With Matlab
Section: Chapter Questions
Problem 1P
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Transcribed Image Text:QUESTION 9
Having many relevant instruments:
O a. is good because they provide more information.
bis a problem because instead of being just identified, the regression now becomes overidentified.
Ос
typically results in larger standard errors for the TSLS estimator.
Od is not as important for inference as having the same number of endogenous variables as instruments.
Ⓒe-All of the above.
Of. None of the above.
QUESTION 10
Which one of the following statements is true:
af E(UX)* 0, OLS is an inconsistent estimator.
bf E(u(Z)-0 and Corr(X,Z) 0, then Z is a valid instrument.
If E(u[X)=0, you don't need to look for instruments.
Ⓒd. E(u[X) 0 and Corr(X,Z) = 0, then Z is not a valid instrument.
e. All of the above.
Of
None of the above.
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