Which of the following is false? 1. When homoscedasticity is present, GLS is the best estimator to use 2. GLS is simply OLS on a model that has been transformed by dividing through using the error standard deviation 3. GLS is simple in theory but difficult in reality given that we do not what o is 4. GLS is better than OLS when there is heteroscedasticity as the error in the transformed model is homoscedastic
Which of the following is false? 1. When homoscedasticity is present, GLS is the best estimator to use 2. GLS is simply OLS on a model that has been transformed by dividing through using the error standard deviation 3. GLS is simple in theory but difficult in reality given that we do not what o is 4. GLS is better than OLS when there is heteroscedasticity as the error in the transformed model is homoscedastic
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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![Which of the following is false?
1. When homoscedasticity is present, GLS is the best estimator to use
2. GLS is simply OLS on a model that has been transformed by dividing through
using the error standard deviation
3. GLS is simple in theory but difficult in reality given that we do not what o is
4. GLS is better than OLS when there is heteroscedasticity as the error in the
transformed model is homoscedastic](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fd9b99642-650b-43a5-bb64-38df0e958ba1%2Ff2aa2311-c969-477a-9e70-ba210dbdc230%2Ff9i8vfc_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Which of the following is false?
1. When homoscedasticity is present, GLS is the best estimator to use
2. GLS is simply OLS on a model that has been transformed by dividing through
using the error standard deviation
3. GLS is simple in theory but difficult in reality given that we do not what o is
4. GLS is better than OLS when there is heteroscedasticity as the error in the
transformed model is homoscedastic
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