ecometrics

123.docx

Use the Dataset Growth.wf1 in “resources” -- the file growth.pdf defines the variables.

1. Run the regression growth = α + βTrade + ε

In eviews: ls growth c trade

1. Does trade significantly (at the .05 level) impact growth?

1. What does the standard error of the regression mean?

1. What is your forecast for growth of a nation where trade =.5?

1. Run the regression:

LS GROWTH C TRADE RGDP60 SCHOOL

1. What does the F statistic from the regression show?

1. Test if the coefficients on RGDP60 and SCHOOL are jointly=0.