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(a) Describe all tests that you need to undertake prior to working with time series data.
(b) Consider the following regression result:
Standard Errors: (6.7525) (0.8229) (0.0807)
R-squared = 0.9835; R-bar square = 0.9631 df = 7 F-ratio= 102.40
where Y denotes consumption (in rupees); X1t denotes income (in rupees) and X2t denotes income to the square.
(i) What is the problem with this regression? Explain in details.
(ii) With reference to your answer to the above, how would you detect such problem?
(iii) A researcher wants to model the demand for Nokia mobiles in Mauritius. If you were the researcher, clearly provide a model type along with the expected signs for each of the variables you considered.
Suppose an economy has the following Real money demand Function: L(Y,i) = 1000 + 0.3Y - 4000i, where i is the nominal interest rate paid on non-monetary (financial) assets,
(b) Suppose that the initial conditions are as follows: y0 = 0 and et = 0 for t= 0. Impose the initial conditions in order to find the general solution.
Students in the red/black card game had to make individual deals. How would the situation change if they could bargain collectively?
#what is the central problems of economics
Help with how to calculate a value from the dickey fuller test
Suppose years of schooling, s , is the only variable that affects earnings. The equations for the weekly salaries of male and female workers are given by w m = 500 + 100 s and
how do l get a co factor of a matrix
if there is multicollinearity so why we can not estimate the value of parameters?
when is an econometric model said to be simple and naive
kindly help in in doing the assignment
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