Question
Consider the following scenario. You are performing an industry analysis where you are regressing company size on market conditions. The measure you are using for
Consider the following scenario. You are performing an industry analysis where you are regressing company size on market conditions. The measure you are using for company size is the number of full-time equivalent employees.
In the course of your analysis you realize the administrative dataset you are using only includes companies with more than 50 full-time equivalent employees. Does this selection on the dependent variable most likely mean that
a)Your parameter estimates will be statistically insignificant
b)Your parameter estimates will be statistically significant
c)Your parameter estimates will be inconsistent
d)Your parameter estimates will be consistent
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started