Final Exam Review

Description

Flashcards on Final Exam Review, created by NOR YASMIN BINTI MHD BANI / FEP on 08/06/2023.
NOR YASMIN BINTI MHD BANI / FEP
Flashcards by NOR YASMIN BINTI MHD BANI / FEP, updated more than 1 year ago
NOR YASMIN BINTI MHD BANI / FEP
Created by NOR YASMIN BINTI MHD BANI / FEP over 1 year ago
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Question Answer
C
B
B
B
D
If the t statistic for the presence of a unit root in a variable is −7.22 and the 5% critical value is −2.86, there is strong evidence against a unit root in the variable. True
The R2 calculated in a spurious regression is a valid and efficient estimate of the goodness-of-fit of the regression equation. False
The short-run elasticity measures the immediate percentage change in a dependent variable given a 1% increase in the independent variables. True
A
The variance of a random walk process decreases as a linear function of time. False
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