Tag: Classical Linear Regression Model Assumptions

Classical Linear Regression Model [CLRM/CNLRM]

CNLRM (Classical Normal Linear Regression Model) Assumption 1: Linear regression model: The regression model is linear in the parameters, as shown as Yi = β1 + β2Xi + ui   Assumption 2: X values are fixed in repeated sampling. Values taken by the regressor X are considered fixed in repeated samples. More technically, X is assumed …