(Requires Calculus) In the multiple regression model you estimate the effect on $Y _ { i }$ of a unit change in one of the $X _ { i }$ while holding all other regressors constant. This
A) makes little sense, because in the real world all other variables change.
B) corresponds to the economic principle of mutatis mutandis.
C) leaves the formula for the coefficient in the single explanatory variable case unaffected.
D) corresponds to taking a partial derivative in mathematics.

Question

(Requires Calculus) In the multiple regression model you estimate the effect on  $Y _ { i }$ of a unit change in one of the $X _ { i }$ while holding all other regressors constant. This
A) makes little sense, because in the real world all other variables change.
B) corresponds to the economic principle of mutatis mutandis.
C) leaves the formula for the coefficient in the single explanatory variable case unaffected.
D) corresponds to taking a partial derivative in mathematics.

Quizplus · Accepted Answer

In multiple regression, estimating the effect of a unit change in one variable while holding others constant is analogous to taking a partial derivative, which measures the change in a function with respect to one variable while keeping other variables constant.

(Requires Calculus) in the Multiple Regression Model You Estimate the Effect