carolyn53401 carolyn53401

02-01-2024
Mathematics

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Suppose a multiple regression model that satisfies assumptions MLR.1 through MLR.4 has been estimated using weighted least squares (WLS) under the assumption that Var(ylx) = σ²h(x); however, in actuality, Var(ylx) ≠ σ²h(x) for the given choice of h(x).

True or False: The misspecification of h(x) will cause the standard errors and test statistics to be invalid.
True
False

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