Which of the following are potential benefits of measuring the units of the dependent variable y in log form? Check all that apply. Your answer: O Logged dependent variables provide better estimates for values of the dependent variable that are less than 1. O Using logged form of variables which vary widely make OLS estimates less sensitive to outliers. When y<0, models using log(y) often satisfy the classic linear model (CLM) assumptions more closely than models using y do. O Logged dependent variables provide better estimates for values of the dependent variable that are less than 0. Using the logged form of the dependent variable reduces issues associated with heteroskedasticity.

Which of the following are potential benefits of measuring the units of the dependent variable y in log form? Check all that apply. Your answer: O Logged dependent variables provide better estimates for values of the dependent variable that are less than 1. O Using logged form of variables which vary widely make OLS estimates less sensitive to outliers. When y<0, models using log(y) often satisfy the classic linear model (CLM) assumptions more closely than models using y do. O Logged dependent variables provide better estimates for values of the dependent variable that are less than 0. Using the logged form of the dependent variable reduces issues associated with heteroskedasticity.

Advanced Engineering Mathematics

10th Edition

ISBN:9780470458365

Author:Erwin Kreyszig

Publisher:Erwin Kreyszig

Chapter2: Second-order Linear Odes

Section: Chapter Questions

Problem 1RQ

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