Question: Show that the first least squares assumption, E (u;|X;) =0, implies that E ( Y,X;) = Bo + B1X;. Using E (u;|X;) = 0, we

 Show that the first least squares assumption, E (u;|X;) =0, implies

Show that the first least squares assumption, E (u;|X;) =0, implies that E ( Y,X;) = Bo + B1X;. Using E (u;|X;) = 0, we have E(YX;) = E(Bo + BIX; + u; X;) + E( X, |X, ) + E( VIX, )

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