Correction, at 9:00 - the right hand side should also be inverted (taken to the power of -1). Also, note that in the code simulations - the linear dependence changes the estimates such that they give the same basic results. E.g., estimating beta1 for x1 to be 0.5 and beta3 for x3 to be 1.25 makes sense, since x1+x3 = x1+2x1 = 3x1, but this is also equal to 0.5x1 + 2*1.25 x1
Correction, at 9:00 - the right hand side should also be inverted (taken to the power of -1).
Also, note that in the code simulations - the linear dependence changes the estimates such that they give the same basic results. E.g., estimating beta1 for x1 to be 0.5 and beta3 for x3 to be 1.25 makes sense, since x1+x3 = x1+2x1 = 3x1, but this is also equal to 0.5x1 + 2*1.25 x1
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