Question: Assumption MLR . 1 ( Linear in Parameters ) Suppose you and a research partner are interested in studying the effect of height on salary.
Assumption MLRLinear in Parameters
Suppose you and a research partner are interested in studying the effect of height on salary. Your partner proposes using a simple OLS regression model to analyze the following population model:
wage educ exper height
where
wage annual salary
educ years of formal education
exper years of work experience
height height, in inches
The proposed model is
The proposed model is
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