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Economics Problem
THIS NEEDS TO BE DONE ON PAPER SHOWING ALL WORK. THEN SCAN OR TAKE A PICTURE OF IT AND UPLOAD. (DO NOT DO ELECTRONICALLY)
- A set of regression results for this problem are attached
- Your job is to provide a statistical and economic interpretation of the results focusing on:
- Tests for significance of the parameters (t-tests). pp. 185-187
- Amount of variation in explained by the equation (adjusted R-squared), pp. 194-195
- Analysis of Variances (F-test) for significance of entire equation, pp. 195-196
- Evidence of multi-collinearity (inconsistent F and t tests or incorrect economic signs with a significant t tests), p.197
- Autocorrelation (Durbin-Watson statistic), p. 199 (Tables for the various tests can be found on google.)
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