# In Example 12.4.1, in contrast to Example 10.2.1, when we introduced the contaminated distribution for Îµi, we did not introduce a bias. Show that if we had, it would not have mattered. That is, if we assume then: (a) The least squares estimator b would still be an unbiased estimator of Î². (b) The least squares estimator a has expectation

In Example 12.4.1, in contrast to Example 10.2.1, when we introduced the contaminated distribution for Îµi, we did not introduce a bias. Show that if we had, it would not have mattered. That is, if we assume

The word "distribution" has several meanings in the financial world, most of them pertaining to the payment of assets from a fund, account, or individual security to an investor or beneficiary. Retirement account distributions are among the most...

then:

(a) The least squares estimator b would still be an unbiased estimator of Î².

(b) The least squares estimator a has expectation Î± + Î´Î¼, so the model may just as well be assumed to be Yi = Î± + Î´Î¼ + Î²xi + Îµi.

The word "distribution" has several meanings in the financial world, most of them pertaining to the payment of assets from a fund, account, or individual security to an investor or beneficiary. Retirement account distributions are among the most...

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