7. State and explain the assumptions underlying the method of (ordinary) least squares; their consequences, effects and solutions
Consider the following data on per capita food consumption (Y), price of food ( X2 ) and per capita income ( X3 ) for the years 1927-1941 in the United States. Retail price of food and per capita disposable income are deflated by the Consumer Price Index.


A .Estimates of the regression coefficients
B. Calculate the partial correlation coefficients of the parameters & interpret the results?