In the presence of Heteroscedasticity, which of the following is not a correct statement ?
A. Heteroscedasticity does not alter the unbiasedness and consistency properties of OLS estimators.
B. OLS estimators are of minimum variance or efficient
C. BLUE estimators are provided by the method of weighted least squares.
D. ‘t’ and ‘F’ tests based on standard assumptions of classical linear regression model may not be reliable.
Answer:B
In the presence of Heteroscedasticity, which of the following is not a correct statement ?
A. Heteroscedasticity does not alter the unbiasedness and consistency properties of OLS estimators. B. OLS estimators are of minimum variance or efficient C. BLUE estimators are provided by the method of weighted least squares. D. ‘t’ and ‘F’ tests based on standard assumptions of classical linear regression model may not be reliable.