Question: Let x t be the 1 (k + 1) vector of explanatory variables for observation t. Show that the OLS estimator can be

Let xt be the 1 × (k + 1) vector of explanatory variables for observation t. Show that the OLS estimator β̂ can be written as

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Dividing each summation by n shows that β̂ is a function of sample averages.

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