Elements of Econometrics

acceptance region assume assumptions asymptotic variance asymptotically efficient autoregressive C₁ calculated confidence intervals consider consistent estimator consumption function correlation corresponding covariance derived determined disturbance E(Y₁ Econometric elements endogenous variables equal to zero Error Type esti estimator of ẞ example explanatory variables Figure finite follows formula given heteroskedastic income independent instrumental variables least squares estimators least squares method level of significance likelihood function linear regression linear regression model maximum likelihood estimators multicollinearity nonlinear nonstochastic normally distributed Note null hypothesis obtain ordinary least squares P₁ parameters plim population mean random variable reduced form regression coefficients regression equation represents restricted sample mean sampling distribution Section specification standard errors stochastic structural equation Suppose Table test statistic Theorem tion unbiased estimator variance-covariance matrix w₁ X₁ Y₁ Z₁ αι β₁ βι βΧ₁ ει μο σ² Σχ Υ₁