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All of the Following Are True, with the Exception of One

Question 62

Multiple Choice

All of the following are true, with the exception of one condition:


A) a high R2 or Rˉ2\bar { R } ^ { 2 } does not mean that the regressors are a true cause of the dependent variable.
B) a high R2 or Rˉ2\bar { R } ^ { 2 } does not mean that there is no omitted variable bias.
C) a high R2 or Rˉ2\bar { R } ^ { 2 } always means that an added variable is statistically significant.
D) a high R2 or Rˉ2\bar { R } ^ { 2 } does not necessarily mean that you have the most appropriate set of regressors.

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