Framework and Assumptions Case I:X is nonstochastic Questions: What happens to Assumption 3.2 if X is nonstochastic? If X is nonstochastic,Assumption 3.2 becomes E(et X)=E(et)=0. An example of nonstochastic X is Xt=(1,t,..,t)',where t is a time variable.This corresponds to a time-trend regression model Y:=XtB°+et 5-039+e6. ADVANCED ECONOMETRICS Classical Linear Regression Model May11,2021 11ADVANCED ECONOMETRICS Classical Linear Regression Model May 11, 2021 11 Framework and Assumptions Case I: X is nonstochastic  Questions: