Solving for a function that best describes the data that implies the use of OLS (or equivalently, the sample moment equations) potentially in the presence of several treatments is known as:
A) multiple regression.
B) least absolute deviations.
C) instrumental variables regression.
D) two-stage least squares.

Question

Quizplus · Accepted Answer

OLS is a method used in multiple regression analysis, where there are multiple independent variables or treatments being used to explain a dependent variable. Therefore, the best choice would be multiple regression since it involves the use of OLS in the presence of several treatments. The other options listed (B, C, and D) are alternative methods used in econometrics but do not necessarily imply the presence of multiple treatments.

Solving for a Function That Best Describes the Data That