Author Question: The distributed lag model assumptions include all of the following with the exception of: A) ... (Read 155 times)

Mr3Hunna · **on:** Jun 29, 2018

The distributed lag model assumptions include all of the following with the exception of:

A) There is no perfect multicollinearity.
B) Xt is strictly exogenous.
C) E(ut Xt, Xt-1, Xt-2) = 0
D) The random variables Xt and Yt have a stationary distribution.

Question 2

In the distributed lag model, the coefficient on the contemporaneous value of the regressor is called the

A) dynamic effect.
B) cumulative multiplier.
C) autoregressive error.
D) impact effect.