CFA Practice Question

There are 208 practice questions for this study session.

CFA Practice Question

Generally positive serial correlation will lead us to compute artificially ______ (small? large?)standard errors for the regression parameters, causing the t-statistics to be ______ (small? large).
Correct Answer: Small, Large

The standard errors will be too small, causing the t-statistics to be large (appearing statistically significant).

User Contributed Comments 0

You need to log in first to add your comment.