Population and sample regression functions

Reference no: EM133552429

Short answer theory questions. Please handwrite your answers.

a) What is the difference between the population and sample regression functions? Specify both functions, and explain how they di§er with the help of a graph.

b) Consider the population regression function. Identify the deterministic and the stochastic component of the model and explain how they contribute to explaining Yi

c) One of the most widely used methods for regression analysis is Ordinary Least Squares (OLS). Explain brieáy how OLS works.

d) Carefully explain what we mean by the term sampling distribution

Reference no: EM133552429

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