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    Introduction to Econometrics Study Set 1
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    In the Case of Errors-In-Variables Bias,the Precise Size and Direction
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In the Case of Errors-In-Variables Bias,the Precise Size and Direction

Question 1

Question 1

Multiple Choice

In the case of errors-in-variables bias,the precise size and direction of the bias depend on


A) the sample size in general.
B) the correlation between the measured variable and the measurement error.
C) the size of the regression R2.
D) whether the good in question is price elastic.

Correct Answer:

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