17.4 Instead of using WLS, the researcher in the previous problem decides to compute the OLS estimator

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17.4 Instead of using WLS, the researcher in the previous problem decides to compute the OLS estimator using only the observations for which x … 10, then using only the observations for which x 7 10, and then using the average the two OLS of estimators. Is this estimator more efficient than WLS?

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Introduction To Econometrics

ISBN: 9781292071367

3rd Global Edition

Authors: James Stock, Mark Watson

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