Question: Part A [ 2 5 % ] Explain the effect that autocorrelation and heteroskedasticity have on the OLS estimation of regression models. Carefully explain the

Part A
[25%] Explain the effect that autocorrelation and heteroskedasticity have on the OLS estimation of
regression models. Carefully explain the reasons for which autocorrelation and heteroskedasticity
may arise in the different types of data and discuss the testing procedures available for both
autocorrelation and heteroscedasticity in Linear Regressions Models.
Part A [25%] Explain the effect that autocorrelation and heteroskedasticity have

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