Define the terms heteroskedasticity and homoscedasticity

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Question: 1. Define the terms "heteroskedasticity" and "homoscedasticity." Explain the effects of heteroskedasticity on the estimates of the parameters and their variances in a normal regression model.

2. Explain the following tests for homoscedasticity.

(a) Ramseys test.

(b) Gold field and Quant's test.

(c) Glasers test.

(d) Breach and Pagans test.

Reference no: EM131530112

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