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What is the conditional expectation function

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Reference no: EM13882189

1. What is the conditional expectation function or the population regression function?

2. What is the difference between the population and sample regression functions? Is this a distinction without difference?

3. What is the role of the stochastic error term ui in regression analysis? What is the difference between the stochastic error term and the residual, uˆ i ?

4. Why do we need regression analysis? Why not simply use the mean value
of the regressand as its best value?

Reference no: EM13882189

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