Consider the following estimated regression In Ý, = 2.57 +0.212 InKt + 0.343 InLt + 0.030 InWt (2.90) (0.348) (0.551) (0.063) where Y: is the industry output, Kt and Lt represent capital and labor,...


Indicate whether the following statement is true, false or uncertain by providing necessary proofs. Some mathmetical explanation I need


Consider the following estimated regression<br>In Ý, = 2.57 +0.212 InKt + 0.343 InLt + 0.030 InWt<br>(2.90) (0.348)<br>(0.551)<br>(0.063)<br>where Y: is the industry output, Kt and Lt represent capital and labor, respectively. It is<br>claimed that there is no problem with the estimated regression and all the inferences are<br>consistent with economic theory.<br>

Extracted text: Consider the following estimated regression In Ý, = 2.57 +0.212 InKt + 0.343 InLt + 0.030 InWt (2.90) (0.348) (0.551) (0.063) where Y: is the industry output, Kt and Lt represent capital and labor, respectively. It is claimed that there is no problem with the estimated regression and all the inferences are consistent with economic theory.

Jun 11, 2022
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