What are the expected signs for the regression coefficient

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Reference no: EM132437016

Question 1: What are the expected signs for the regression coefficient? Explain. Calculate the coefficients and see if their signs correspond to your intuition. Show derivations/calculations.

Question 2: Calculate the regression R² and interpret it.

Question 3: What other factors can you think of that might have an influence on productivity? Show derivations/calculations.

Attachment:- Regression Model.rar

Reference no: EM132437016

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len2437016

1/18/2020 8:43:02 PM

Please make sure to explain all steps. You can give it to this person (what''s their name?) I ONLY NEED COMPUTATIONS AND ALL STEPS CLEARLY SO ITS EASY. For part a, theoterical answer is "According to the Solow model, savings beta should have a positive sign as it contributes to higher investment ergo gdp, and population should have a negative sign as it will reduce MPL and therefore decrease GDP, though mitigated parly by taking per capita gdp." So just need the computations, whi he can get by just plugging in the equations so easy. For b I can do interpretation, just need computation only. For c, I can answer as its just productivity or the Solow residual.

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