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Questions › JNU › JNU SIS 2021 › Q6
0 marksEconometrics › Classical assumptions and their violations › HeteroscedasticityEasyabout 1 min

JNU SIS 2021 Question 6: Classical assumptions and their violations

What would be the consequences for the OLS estimator if heteroscedasticity is present in a regression model but ignored?
A. It will be biased
B. It will be inconsistent
C. It will be inefficient
D. None of the above Choose the correct answer from the options given below:

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Classical assumptions and their violations has come up 26 times in 7 exams since 2011.

What this question tests

This question is on Heteroscedasticity, part of Classical assumptions and their violations in Econometrics.

Unequal error variance: causes, consequences for OLS, tests and remedies.

TestStop has 10 past-paper questions on this subtopic; the nearest in year are below.

  • GATE 2021 · Q9What would be the consequences for the OLS estimator if heteroscedasticity is present in a regression model…
Practise Classical assumptions and their violationsMore on Heteroscedasticity

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Question from the JNU SIS 2021 paper. Solutions are TestStop's own. Not affiliated with or endorsed by any examination authority.