Which of the following statements is true concerning standard regression model?
A. Y has a probability distribution
B. X has a probability distribution
C. The disturbance term is assumed to be correlated with X
D. For an adequate model the residual (û) will be zero for all sample data points
Answer:A
Which of the following statements is true concerning standard regression model?
A. Y has a probability distribution B. X has a probability distribution C. The disturbance term is assumed to be correlated with X D. For an adequate model the residual (û) will be zero for all sample data points