What are properties that a good estimator should satisfy?

Question

09 Sep 2024

Answer :

Word Count : 296

In introductory econometrics, a good estimator should possess several key properties to ensure that it provides reliable and accurate estimates. The main properties are:

1. Unbiasedness: An estimator is unbiased if its expected value equals the true parameter value it estimates. In other words, on average, it neither overestimates nor underestimates the parameter. Mathematically, if \(\hat{\theta}\) is the estimator __________ _______ ______ ___ __________ ___ ________ ______ _________ __________ _________ __________.
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