Ans: D) if an omitted determinant of Yi is correlated with at least one of the regressors.
The OLS estimators of the coefficients in multiple regression will have omitted variable bias
A) only if an omitted determinant of Yi is a continuous variable.
B) if an omitted variable is correlated with at least one of the regressors, even though it is not a determinant of the dependent variable.
C) only if the omitted variable is not normally distributed.
D) if an omitted determinant of Yi is correlated with at least one of the regressors.
Economics
You might also like to view...
Economists segment the business cycle into phases and the phase characterized by a relatively high level of real GDP, full employment, and inflation identifies
a. recovery b. demand-pull inflation c. stagflation d. expansion e. prosperity
Economics
Because there is a trade-off between inflation and unemployment in the short run,
A. lower unemployment will typically cause inflation to fall. B. policies designed to reduce unemployment will typically set off a recession. C. policies designed to reduce inflation will cause unemployment to fall as well. D. higher inflation will generally be associated with higher unemployment. E. lower inflation will generally be associated with higher unemployment.
Economics