Two stage least squares (2SLS) may fail to deliver a consistent estimate of the target relationship in

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Two stage least squares (2SLS) may fail to deliver a consistent estimate of the target relationship in a linear regression model if... a. The exogenous and endogenous variables are correlated. b. The instruments are too weakly correlated with the endogenous regressors. c. None of the listed answers is correct. d. The instrument is related to the exogenous variables in the structural model. e. The correlation between the endogenous regressors and the structural error is not zero

Posted Date: May 17, 2024 04:12 PM

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Two stage least squares (2SLS) may fail to deliver a consistent estimate of the target relationship in

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