One implication of the extended least squares assumptions in the multiple regression model is that A)feasible GLS should be used for estimation. B)E(U|X)= I_n. C) $X ^ { \prime }$ X is singular. D)the conditional distribution of U given X is N(0_n, I_n).

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Quizplus · Accepted Answer

The extended least squares assumptions imply that the errors are normally distributed with mean zero and constant variance, which is represented by the conditional distribution of U given X being N(0_n, I_n).

One Implication of the Extended Least Squares Assumptions in the Multiple