Introduction to Econometrics 3rd Edition by James Stock, Mark Watson

تمرين 5

A researcher is interested in the effect on test scores of computer usage. Using school district data like that used in this chapter, she regresses district average test scores on the number of computers per student. Will
1 be an unbiased estimator of the effect on test scores of increasing the number of computers per student Why or why not If you think
1 is biased, is it biased up or down Why