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Consider the Following Regression Model: Y = 0

Question 28

Multiple Choice

Consider the following regression model: y = Consider the following regression model: y = <sub>0</sub> + <sub>1</sub>x<sub>1</sub> + u. Which of the following is a property of Ordinary Least Square (OLS) estimates of this model and their associated statistics? A) The sum, and therefore the sample average of the OLS residuals, is positive. B) The sum of the OLS residuals is negative. C) The sample covariance between the regressors and the OLS residuals is positive. D) The point ( ) always lies on the OLS regression line. 0 + Consider the following regression model: y = <sub>0</sub> + <sub>1</sub>x<sub>1</sub> + u. Which of the following is a property of Ordinary Least Square (OLS) estimates of this model and their associated statistics? A) The sum, and therefore the sample average of the OLS residuals, is positive. B) The sum of the OLS residuals is negative. C) The sample covariance between the regressors and the OLS residuals is positive. D) The point ( ) always lies on the OLS regression line. 1x1 + u. Which of the following is a property of Ordinary Least Square (OLS) estimates of this model and their associated statistics?


A) The sum, and therefore the sample average of the OLS residuals, is positive.
B) The sum of the OLS residuals is negative.
C) The sample covariance between the regressors and the OLS residuals is positive.
D) The point ( Consider the following regression model: y = <sub>0</sub> + <sub>1</sub>x<sub>1</sub> + u. Which of the following is a property of Ordinary Least Square (OLS) estimates of this model and their associated statistics? A) The sum, and therefore the sample average of the OLS residuals, is positive. B) The sum of the OLS residuals is negative. C) The sample covariance between the regressors and the OLS residuals is positive. D) The point ( ) always lies on the OLS regression line. ) always lies on the OLS regression line.

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