Essay
Consider the following symmetric and idempotent Matrix A: A = I - ιι' and ι =
a.Show that by postmultiplying this matrix by the vector Y (the LHS variable of the OLS regression),you convert all observations of Y in deviations from the mean.
b.Derive the expression Y'AY.What is the order of this expression? Under what other name have you encountered this expression before?
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a.Note that
ι'Y =
.Given this result,t...View Answer
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