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Consider the model Yt = 0 + 1X1t + Yt-1 + t. If X1 is increased by one unit in period t, holding everything else

Consider the model Yt = 0 + 1X1t + Yt-1 + t. If X1 is increased by one unit in period t, holding everything else constant, what is the expected increase in Yt+3 ?

a.

21

b.

c.

31

d.

image text in transcribed
Consider the model Yt = 30 + 31X1t + VYt-1 + st. If X1 is increased by unit in period t, holding everything else constant, what is the expected increase in Yt+3 ? a. V231 C. V381 d.

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