For the model in (5-25) and (5-26), prove that when only x* is measured with error, the
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For the model in (5-25) and (5-26), prove that when only x* is measured with error, the squared correlation between y and x is less than that between y* and x*. (Note the assumption that y* = y.) Does the same hold true if y* is also measured with error?
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