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3. Omitted Variable Bias: Suppose you were interested in the influence of local crime rates on the price of homes. Nonetheless, you recognize that the
3. Omitted Variable Bias: Suppose you were interested in the influence of local crime rates on the price of homes. Nonetheless, you recognize that the size of the property should be included in the model. In what direction is the estimate of the influence of crime on house price biased if property size is omitted from the model? (Make it clear what assumptions you are making to arrive at your answer.)
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