How Do We Solve for the OLS Estimator Using Algebra and Matrix? | Econometric Tutorial | Topic 22
00:00 Solve for OLS Estimator in Simple Regression Model Using Algebra
03:20 Solve for OLS Estimator in Multiple Regression Model Using Matrix
【Five Minute Econometrics】(Econometric Tutorial) Topic 22: How Do We Solve for the OLS Estimator Using Algebra and Matrix?
Hi, I am Bob. Welcome to the Five Minute Econometrics, a tutorial for basic econometric concepts and estimation methods. Today, we will have a summary of how to derive the Ordinary Least Squares (OLS) estimator beta hat. We will first solve for the OLS estimator in the simple regression with only one explanatory variable and then use matrix notation to derive the OLS estimator for multiple regression with k explanatory variables.
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