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Basic Question 0 of 4

Each variable included in a regression should play an essential role. This is equivalent to saying:

A. The model should be parsimonious.
B. The model should be grounded in cogent economic reasoning.
C. The model cannot violate any regression assumptions.

User Contributed Comments 0

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I am using your study notes and I know of at least 5 other friends of mine who used it and passed the exam last Dec. Keep up your great work!
Barnes

Barnes

Learning Outcome Statements

describe how model misspecification affects the results of a regression analysis and how to avoid common forms of misspecification;

CFA® 2025 Level II Curriculum, Volume 1, Module 3.