W4479 – Econometrics, Project, SS 2025 Prof. Dr. Y. Feng / O. K. Ayensu / H. Pham Problem 1: Monte Carlo Study In this study, you are required to investigate how the OLS estimators behave under different assumptions about the error distribution and varying sample sizes. The population data are generated from the linear regression model Yi = 2.75 + 0.85Xi + ui, for i = 1, . . . , 10000, where Xi are non stochastic and real-valued over the interval [10, 200]. The error term ui is drawn from one of the following two distributions: i.i.d. 5(ei ? 5) i.i.d. […]





