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Math Help - Simple Linear Regression (Econometrics)

  1. #1
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    Simple Linear Regression (Econometrics)

    Im given 10 observations for some variable X along with 10 observations of the error term(u) (pulled from normal distribution with mean=0 and variance=10). I'm given this equation:

    Yi=1+.5Xi+ui

    and that B0=1 and B1=.5. Im than told that since I know the true properties of the data, than I need to find the following:

    1) True Variance of Beta^{hat}o and Beta^{hat}1

    I honestly don't really know what its asking so if anyone could help or offer some insight that would be great.
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  2. #2
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    Re: Simple Linear Regression (Econometrics)

    Hey madams5402.

    See your other post on this topic.
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