Assuming you have two regression models

and

$.$

What is the relevant encompassing model required to compare the two regression models?

Question $13$ options:

Encompassing models cannot be used to compare these specificationsAssuming you have two regression models

$y_t={}_1+{}_2{x}_{2t}+{}_3{x}_{3t}+u_t$ and

$y_t={}_1+{}_2{x}_{4t}+{}_3{x}_{5t}+v_t$

What is the relevant encompassing model required to compare the two regression models?

Encompassing models cannot be used to compare these specifications

${}_1=y_t+{}_2{x}_{2t}+{}_3{x}_{3t}+{}_4{x}_{4t}+{}_5{x}_{5t}+w_t$

$y_t={}_1+{}_2{x}_{2t}+{}_3{x}_{3t}+{}_5{x}_{5t}+w_t$

$y_t={}_1+{}_2{x}_{2t}+{}_3{x}_{3t}+{}_4{x}_{4t}+{}_5{x}_{5t}+w_t$