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We Face the Largest Risk of Getting a Spurious Result γ\gamma

Question 16

Multiple Choice

We face the largest risk of getting a spurious result when:


A) Regressing a variable with a unit root against a variable without a unit root.
B) Regressing a variable with a unit root against a variable with a unit root.
C) Regressing a variable with γ\gamma<\lt 1
D) When errors are autocorrelated.

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