Textbook Neglect of the Constant Coefficient

Ralph C. Allen and Jack H. Stone

The Journal of Economic Education, 2005, vol. 36, issue 4, 379-384

Abstract: The authors argue that the textbook treatments of the constant term in regression analysis vary extensively and are often neglectful, incomplete, or even incorrect. Given the potential importance of the constant coefficient in theoretical and applied work, they develop the factors biasing the estimation of the constant term to support the argument that textbook discussions of the constant coefficient should be made as clear as that of the slope coefficients.

Date: 2005
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DOI: 10.3200/JECE.36.4.379-384

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