UNIVERSITY OF CALIFORNIA, LOS ANGELES
Department of Economics

Economics 143 - APPLIED REGRESSION ANALYSIS

SELF-GRADING PRACTICE QUIZ #8

Fall 1997, Professor Cameron

Introduction:
This quiz emphasizes the material covered in Lecture 8, with particular emphasis on the problem of omitted variables bias. This is one of the most common problems with any regression specification, especially simple regressions. Be sure you understand these distortions of slope coefficient estimates and why they arise.