Question
Consider the following simple regression model y = 0 + 1 x + u , with z being an instrument for x . Suppose Corr(
Consider the following simple regression model y = 0 + 1x + u, with z being an instrument for x. Suppose Corr(x,u) > 0, Corr(z,x) > 0, and Corr(z,u) < 0. Then, the IV estimator has a(n) _______.
| a. | asymptotic bias | |
| b. | downward bias | |
| c. | no bias | |
| d. | upward bias |
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Process To Profits Strategic Planning For A Growing Business
Authors: William Lasher
1st Edition
0324223870, 9780324223873
