Business, 02.04.2021 22:10 chrissycherry
If Xit is correlated with Xis for different values of s and t, then:
a. Xit is said to be autocorrelated
b. the OLS estimator cannot be computed
c. statistical inference cannot proceed in a standard way even if clustered standard errors are used
d. this is not of practical importance since these correlations are typically weak in applications
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If Xit is correlated with Xis for different values of s and t, then:
a. Xit is said to be autocorre...
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