You want to estimate the model Y = Bo + B1X1 + B2X2 + u but you only observe X1. If B2 > 0 and cov(X1, X2) > 0, the esti
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You want to estimate the model Y = Bo + B1X1 + B2X2 + u but you only observe X1. If B2 > 0 and cov(X1, X2) > 0, the esti
You want to estimate the model Y = Bo + B1X1 + B2X2 + u but you only observe X1. If B2 > 0 and cov(X1, X2) > 0, the estimator for B1 is upward-biased.
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