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1.Consider the simple linear regression model a.What does i=1,...,N refer to? b.What is the meaning of? c.What is the meaning of ? d.List three reasons

1.Consider the simple linear regression model

a.What does i=1,...,N refer to?

b.What is the meaning of?

c.What is the meaning of ?

d.List three reasons why we add a residual ( u_i) to the model?

e.What are three statistical properties of the error term?

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