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You are given the following model yi = B1 + Bzxit &i You have the following empirical information at your disposal: y = [1 4
You are given the following model yi = B1 + Bzxit &i You have the following empirical information at your disposal: y = [1 4 3 6 0 2]' and x = [2 5 3 6 2 1]' (a) Estimate this model by OLS. (b) Estimate the covariance matrix of the OLS estimator on the assumption that o = 1. (c) Test the hypothesis that B2 = 0 on the assumption that o = 1.You are given the following model yi = B1 + Bzxit &i You have the following empirical information at your disposal: y = [1 4 3 6 0 2]' and x = [2 5 3 6 2 1]' (a) Estimate this model by OLS. (b) Estimate the covariance matrix of the OLS estimator on the assumption that o = 1. (c) Test the hypothesis that B2 = 0 on the assumption that o = 1
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