Consider the following statements about Maximum Likelihood Estimation (MLE):
1) MLE aims to find parameter estimates that maximize the likelihood function, given the observed data.
2) MLE estimators are asymptotically efficient, meaning they achieve the lowest possible variance among unbiased estimators.
3) MLE assumes that the data is independent and identically distributed (i.i.d.).
Which of the following options is correct?
1
Only statements 1 and 2 are correct
2
Only statements 1 and 3 are correct
3
Only statements 2 and 3 are correct
4
All statements 1, 2, and 3 are correct
5
Question Not Attempted