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Ytnbsp beta0nbsp beta1xtnbsp beta2xt-1nbsp beta3xt-2nbsp

y_t = β₀ + β₁x_t + β₂x_t-1 + β₃x_t-2 + β₄z_t-1 + u_t

1) True, false, explain: OLS estimates of the β coefficients of this model will be biased if x_t is correlated with x_t-1

2) True, false, explain: OLS estimates of the β coefficients of this model will be biased if x_t-1 is correlated with u_t.

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