Haughton and Khandker
14 Review Questions
1. You have estimated an equation using ordinary least squares regression. To determine whether the equation fits the data well, the most useful statistic is:
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A. The t-statistic. B. The p-value. C. R2. D. The standard error of the coefficient.
2. In logistic regression:
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A. The dependent variable is binary. B. A coefficient shows the effect of a unit change in the independent variable on the log of the odds ratio. C. There is a loss of information relative to using a continuous variable on the left-hand side of the equation. D. All the other answers are correct.
3. Measurement error
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A. Always biases the coefficients toward zero. B. Biases the coefficients toward zero if the independent variables are not measured correctly. C. Biases the coefficients toward zero if the dependent variable is not measured correctly. D. Is fortunately relatively rare when using micro data from household surveys.
4. An equation that seeks to explain whether a child attends school or not includes, as a right-hand variable, the schooling level of the child’s mother, but not her ability. This is a case of
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A. Attrition bias. B. Simultaneity bias. C. Sample selectivity bias. D. Omitted variable bias.
5. In a regression model based on household data, fixed-effects estimation essentially amounts to including a separate intercept for each household, and requires panel data.
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True False