Econometrics Assignemente

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QUEENS’ COLLEGE DISTANCE EDUCATION DIVISION

TEL. 011-8-12-19-82

ASSIGNMENT

ON

ECONOMETRICS

Date: - _____________

Total Weight: - 30 %

Name: - _____________________________________________ ID NO: - ________________

Department: -_______________ Study center: -_____________ Entry year: - __________

Program: DEGREE

This is the only assignment of this course.

This assignment is to be completed and submitted to the office of your center. Do not
attempt the assignment until you are certain that you have understood the units it covers and
have revised your self-test exercises and learning activities, and other necessary references.

If you have any question about the units and activities, state the item/s clearly on a separate
sheet of paper and attach to your assignment paper.

1
#1. Suppose the model of Interest is Yi=B0+B1X1i+B2X2+Vi, where E (u/x) =0 and E (v2/x) =δ2
and x1 and x2 are uncorrelated in your sample. Will the bivariate regression of y on xi have the same
coefficient estimate and stand and error for β1 as the multi variety regression of y on x1 and x2?

#2. Distinguish between


A. Theoretical and applied econometrics
B. Single equation model simultaneous equation model
C. Observational and experimental data
#3. Discuss the four types of data in econometric analysis
#4. What is the role of the statistic error term in the regression analysis?
#5. Formulate a basic econometric model for a supply curve to be estimate with an Ols regression
model. Comment on your signs of each of the explanatory variables in your model that you should
expect to see in order to conform to the law of supply.

#6. A study found that age and blood pressure are correlated. The data is shown below
Age 45 65 34 21 17 19 42 55 37 52 28 23 37 43
B.p(y 140 145 90 95 90 92 125 140 110 130 100 90 120 130
)

A. Estimate the equation of the regression line


B. Explain the slope in context of the problem
C. Find R2, Explain it in context of the problem
D. Find ESS, RSS and TSS

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