# 10 multiple choices economics need in two hours

1. The population regression line gives the mean value of the dependent variable corresponding to each value of the independent variable outside the population as a whole.(Points : 1)True False Question 2. 2. Objective(s) of Regression Analysis may be: (Points : 1)To forecast the mean value of the dependent variable, given the value(s) of the independent variables(s) beyond the sample range.To test hypotheses about the nature of dependence as suggested by an economic theory.To estimate the mean value of the dependent variable, given the values of the independent variables.All of the aboveNone of the aboveQuestion 3. 3. The best way to estimate the PRF is to select b1 and b2, the estimators of B1 and B2, in such a way that the residuals are as small as possible. (Points : 1)True False Question 4. 4. Regression Analysis (Points : 1)Is concern with the study of the relationship between an explained variable and one or more other explanatory variables.Is concern with the study of the relationship between a dependent variable and one or more other explanatory variables.Is concern with the study of the relationship between an explained variable and one or more other independent variables.All of the aboveNone of the aboveQuestion 5. 5. Yi = B1 + B32Xi+ ui is a Linear regression model. (Points : 1)True False Question 6. 6. The principle of Ockham razor suggest that: (Points : 1)It is better to have more as compared to having less.It is vain to do with more what can be done with less.Regression models should be kept as simple as possibleAll of the aboveB & C aboveQuestion 7. 7. In reality, the two-variable regression model is critically important because the behavior of a dependent variable can generally be explained by a single explanatory variable. (Points : 1)True False Question 8. 8. In econometrics, we typically do not rely on exact or finite sample distribution because. (Points : 1)We have approximately an infinite number of observationsVariables typically are normally distributed.The covariances of Yi, Yj are typically not zeroAsymptotic distributions can be counted on to provide good approximations to the exact sampling distribution.Question 9. 9. Yi = B1 + B2 (1/Xi) is a Linear regression model. (Points : 1)True False Question 10. 10. Objective(s) of Regression Analysis is: (Points : 1)To forecast the mean value of the dependent variable, given the value(s) of the independent variables(s) beyond the sample range.To test hypotheses about the nature of dependence as suggested by an economic theory.To estimate the mean value of the dependent variable, given the values of the independent variables.All of the aboveNone of the above