Ithe simple linear regression model yi betacirc 1


In the simple linear regression model yi = βˆ 1 + βˆ 2xi + ˆei , where E(ˆei) 6= 0. Show that the model can always be written with the same slope, but a new intercept and error term that does not violate the property that E( ˆei) = 0.

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Business Economics: Ithe simple linear regression model yi betacirc 1
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