BDU, CoBE, Department of Economics Assignment for Financial Econometrics-2 (40%) N.B: The answer should be written in your own hand writing Supposes a student of Accounting and Finance wants to model “The attitude of parents towards family size preference”. In this regard, the student wants to regress family size (Y) on children as wealth (X2i) and son preference (X3i) using 1000 sampled households in the town of Gondar. As his data is cross – section, the student wants to test his model for hetroskedasticity problem. What is / are the consequences of hetroskedasticity? Suppose this student wants to conduct the White test for hetroskedasticity. Write the null & the alternative hypothesis?
BDU, CoBE, Department of Economics Assignment for Financial Econometrics-2 (40%) N.B: The answer should be written in your own hand […]
