Solved

Consider the Following Equation: Log(yt )= 0

Question 3

Multiple Choice

Consider the following equation: Log(yt ) = 0.7 + 1.2log(st ) + 0.3log(st-1) + 0.2log(st-2) + 0.1log(st-3)
What is the percentage increase in y given a permanent 1% increase in s?


A) 1.2
B) 1.8
C) 2.5
D) 0.5

Correct Answer:

verifed

Verified

Related Questions

Q1: The model: Y<sub>t</sub> = <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8272/.jpg" alt="The

Q2: Dummy variables can be used to address

Q4: Economic time series are outcomes of random

Q5: Which of the following correctly identifies a

Q6: If an explanatory variable is strictly exogenous

Q7: Which of the following is an assumption

Q8: The propensity δ<sub>0</sub> + δ<sub>1</sub>+ … +

Q9: ​When a series has the same average

Q10: Adding a time trend can make an

Q11: Time series regression is based on series