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If δ1 = Cov(x1/x2)/ Var(x1)where X1 and X2 Are Two

Question 9

Multiple Choice

If δ1 = Cov(x1/x2) / Var(x1) where x1 and x2 are two independent variables in a regression equation,which of the following statements is true?


A) If x2 has a positive partial effect on the dependent variable,and δ1 > 0,then the inconsistency in the simple regression slope estimator associated with x1is negative.
B) If x2 has a positive partial effect on the dependent variable,and δ1 > 0,then the inconsistency in the simple regression slope estimator associated with x1is positive.
C) If x1 has a positive partial effect on the dependent variable,and δ1 > 0,then the inconsistency in the simple regression slope estimator associated with x1is negative.
D) If x1 has a positive partial effect on the dependent variable,and δ1 > 0,then the inconsistency in the simple regression slope estimator associated with x1is positive.

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