In an instrumental variable regression model with one regressor, Xi , and one instrument, Zi , the regression of Xi onto Zi has R 2 = 0.05 and n = 100. Is Zi a strong instrument? [Hint: See Equation (7.14).] Would your answer change if R 2 = 0.05 and n = 500? Stock, James H.. Introduction to Econometrics (Pearson Series in Economics (Hardcover)) (p. 462). Pearson Education. Kindle Edition.

Beta coefficients and the capital asset pricing model personal finance problem katherine wilson is wondering how much risk she must undertake to generate an acceptable return on her porfolio. the risk-free return currently is 4%. the return on the overall stock market is 14%. use the capm to calculate how high the beta coefficient of katherine's portfolio would have to be to achieve a portfolio return of 16%.

The following information is available for jase company: market price per share of common stock $25.00 earnings per share on common stock $1.25 which of the following statements is correct? a. the price-earnings ratio is 20 and a share of common stock was selling for 20 times the amount of earnings per share at the end of the year. b. the market price per share and the earnings per share are not statistically related to each other. c. the price-earnings ratio is 5% and a share of common stock was selling for 5% more than the amount of earnings per share at the end of the year. d. the price-earnings ratio is 10 and a share of common stock was selling for 125 times the amount of earnings per share at the end of the year.

True or false entrepreneurs try to meet the needs of the marketplace by supplying a service or product