Closed this issue 2 years ago · 1 comments
Now, under the first, fourth, and fifth, assumptions, we can write: ... V(y|x) = σ^2
Should be V(u|x) = σ^2?
I think both are equivalent actually! $E(y \vert x) = x\beta$, so $Var(y \vert x) = Var(u \vert x)$