Determine which of your estimators r = ˆrMLE and r = ˆrLS has greater bias?

In this question you will explore whether ˆrLS and ˆrMLE are biased. (a) In Ror a programming language of your choice, simulate time series data, {R0,R1,…,Rn}, using the model Rt+1 = ztrRte1−Rt/k, (4) with r = 1.3, k = 100, σ = 0.1, starting at R0 = 5 and n = 50, where zt is […]

Find the covariance between ˆα andˆβ.

EC2020 Econometrics I: Christmas Project This is the project for this module that counts 60%. All questions carry the same weight.The submission deadline is 3:00pm, Tuesday 12th of January 2021. Collusion and plagiarism will not be tolerated, and punished ruthlessly according to the strict University regulations on academic integrity. 1. Consider the following model:yi=α+βxi+i;i= 1,2,···,n(1)where […]

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