Question: Consider the linear regression model where is an endogenous regressor. Using a valid instrumental variable for , the first-stage regression of 2SLS is a. on

Consider the linear regression model where is an endogenous regressor. Using a valid instrumental variable for , the first-stage regression of 2SLS is

a.

on 1 and .

b.

on 1 and .

c.

on 1, , and .

d.

on 1 and .

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