Solved

Consider the Following Equation for Household Consumption Expenditure: Consmptn=

Question 4

Multiple Choice

Consider the following equation for household consumption expenditure: Consmptn= Consider the following equation for household consumption expenditure: Consmptn= <sub>0</sub>+ <sub>1</sub>Inc + <sub>2</sub>Consmptn<sub>-1</sub>+ u Where 'Consmptn' measures the monthly consumption expenditure of a household, 'Inc' measures household income and 'Consmptn<sub>-1</sub>' is the consumption expenditure in the previous month. Consmptn<sub>-1</sub> is a _____ variable. A) exogenous B) binary variable C) lagged dependent D) proxy variable 0+ Consider the following equation for household consumption expenditure: Consmptn= <sub>0</sub>+ <sub>1</sub>Inc + <sub>2</sub>Consmptn<sub>-1</sub>+ u Where 'Consmptn' measures the monthly consumption expenditure of a household, 'Inc' measures household income and 'Consmptn<sub>-1</sub>' is the consumption expenditure in the previous month. Consmptn<sub>-1</sub> is a _____ variable. A) exogenous B) binary variable C) lagged dependent D) proxy variable 1Inc + Consider the following equation for household consumption expenditure: Consmptn= <sub>0</sub>+ <sub>1</sub>Inc + <sub>2</sub>Consmptn<sub>-1</sub>+ u Where 'Consmptn' measures the monthly consumption expenditure of a household, 'Inc' measures household income and 'Consmptn<sub>-1</sub>' is the consumption expenditure in the previous month. Consmptn<sub>-1</sub> is a _____ variable. A) exogenous B) binary variable C) lagged dependent D) proxy variable 2Consmptn-1+ u
Where 'Consmptn' measures the monthly consumption expenditure of a household, 'Inc' measures household income and 'Consmptn-1' is the consumption expenditure in the previous month. Consmptn-1 is a _____ variable.


A) exogenous
B) binary variable
C) lagged dependent
D) proxy variable

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q1: Which of the following is true?<br>A)A functional

Q2: Under the classical errors-in-variables (CEV) assumption, the

Q3: A proxy variable _.<br>A)increases the error variance

Q5: Which of the following is true of

Q6: Which of the following assumptions is needed

Q7: Sample selection based on the dependent variable

Q8: A regression model suffers from functional form

Q9: The method of data collection in which

Q10: Studentized residuals are obtained from the original

Q11: If the data are missing at random,