Question: In the simple regression model under MLR.1 through MLR.4, we argued that the slope estimator, b^1, is consistent for b1. Using b^ 0 5 y

In the simple regression model under MLR.1 through MLR.4, we argued that the slope estimator, b^1, is consistent for b1. Using b^

0 5 y 2 b^

1x1, show that plim b^

0 5 b0. [You need to use the consistency of b^

1 and the law of large numbers, along with the fact that b0 5 E1y2 2 b1E1x1 2.]

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