I am having a hard time with proofs in econometrics (as i think alot do) but I would really appreciate some help into these questions
1) y= Bo + Bi log(x) +u
Bo= intercept
Bi= slope
u = error term
If im calculating for OLS estimators does the log change anything really? I mean mathematically speaking would the log not just be added to x on the standard OLS estimate for intercept and slope?
2) I am given an equation
Y = Bo + u where Variance of u (var (u)= 10) ,
and it asks me to derive the OLS estimators and variances of the estimates how do i go about doing this without a slope variable?
3) Given
Y= Bo + Σ(j=1) Bi xij + u
show that (estimated mean of error term) u^= 1/nΣu^ (estimated error term)
show that the covariance between estimated residuals or independent variables is zero
show that y and x bar (mean) go through the regression line
show (estimated ybar)=ybar
You do not (and i do not expect) someone do outright do my homework but an explanation on how i should solve it would be helpful, a link or a short guide.
1) y= Bo + Bi log(x) +u
Bo= intercept
Bi= slope
u = error term
If im calculating for OLS estimators does the log change anything really? I mean mathematically speaking would the log not just be added to x on the standard OLS estimate for intercept and slope?
2) I am given an equation
Y = Bo + u where Variance of u (var (u)= 10) ,
and it asks me to derive the OLS estimators and variances of the estimates how do i go about doing this without a slope variable?
3) Given
Y= Bo + Σ(j=1) Bi xij + u
show that (estimated mean of error term) u^= 1/nΣu^ (estimated error term)
show that the covariance between estimated residuals or independent variables is zero
show that y and x bar (mean) go through the regression line
show (estimated ybar)=ybar
You do not (and i do not expect) someone do outright do my homework but an explanation on how i should solve it would be helpful, a link or a short guide.