Question: Show that 2(X) is the best predictor of e2 given X: (a) Write down the mean-squared error of a predictor h(X) for e2. (b) What

Show that ¾2(X) is the best predictor of e2 given X:

(a) Write down the mean-squared error of a predictor h(X) for e2.

(b) What does it mean to be predicting e2?

(c) Show that ¾2(X) minimizes the mean-squared error and is thus the best predictor.

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