In a multiple regression model, the error variable $\varepsilon$ is assumed to have a mean of:
A) -1.0.
B) 0.0.
C) 1.0.
D) any value smaller than -1.0.

Name: In a multiple regression model, the error variable $\varepsilon$ is assumed to have a mean of: A) -1.0. B) 0.0. C) 1.0. D) any value smaller than -1.0.
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Quizplus · Accepted Answer

In a multiple regression model, the error term $\varepsilon$ is assumed to have a mean of 0. This assumption is crucial for the unbiasedness of the estimated coefficients.

In a Multiple Regression Model, the Error Variable ε\varepsilonε Is Assumed to Have a Mean Of: A) -1

In a Multiple Regression Model, the Error Variable $\varepsilon$ Is Assumed to Have a Mean Of:
A) -1