State with reasons whether the following statements are true or false. a. In the model Yi =
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a. In the model Yi = B1 + B2Di + ui, letting Di take the values of (0, 2) instead of (0, 1) will halve the value of B2 and will also halve the t value.
b. When dummy variables are used, ordinary least squares (OLS) estimators are unbiased only in large samples.
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a False Letting D take the values of 0 2 will halve both ...View the full answer
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