You Regress Y On Two Explanatory Variables X1 And X2 Suppose The Variance Of The

You regress Y on two explanatory variables, X1 and X2. Suppose the variance of the regression is equal to 1600, and the variance of X1=1. There are 401 observations. What is the


variance of ???? in the following:

(Hint, what is the R2 of a regression of X1 on X2)

a) X1 and X2 are uncorrelated.

b) X1 and X2 have correlation r=.5?


c) X1 and X2 have correlation r=.75?

d) X1 and X2 have correlation r=.95? 

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