Least-squares procedure to a multiple linear regression


Problem: The application of the least-squares procedure to a multiple linear regression equation requires that:

a) no exact linear relationships can exist among any of the independent variables

b) the number of observations (n) must exceed the number of b parameters to be estimated (m)

c) the number of observations (n) must exceed the number of parameters to be estimated (m + 1)

d) a and b

e) a and c

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Microeconomics: Least-squares procedure to a multiple linear regression
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