e311a6a.pdf

# e311a6a.pdf - Murat DEMİRCİ and İnsan TUNALI Econ 311...

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Murat DEMİRCİ and İnsan TUNALI November 1, 2018 Econ 311: Introduction to Econometrics Answers to ASSIGNMENT 6: Simple Linear Regression Part I. Linear Regression by hand: The following sample on ( X , Y ) has been obtained from 6 fishing villages on the Black Sea Coast. Here Y = tons of fish caught, and X = number of licensed fishing boats. You are expected to use the table below for your preliminary calculations. When you answer the questions below, make sure to write down the formula you are using, and include the units of measurement if any. If you wish, you may use Excel for data manipulations. But you must copy your answers to this handout. Let x i = X i X , y i = Y i Y . Please check the bold numbers. i Y i X i x i 2 i x y i 2 i y x i y i i Y ˆ = 𝛽𝛽 ̂ 0 + 𝛽𝛽 ̂ 1 X i 𝑢𝑢 𝑖𝑖 = Y i i Y ˆ X i 𝑢𝑢 𝑖𝑖 1 6 2 –4 16 –9 81 36 5.942 0.058 0.116 2 12 5 –1 1 –3 9 3 12.737 –0.737 –3.685 3 10 6 0 0 –5 25 0 15.002 –5.002 –30.012 4 15 6 0 0 0 0 0 15.002 –0.002 –0.012 5 25 7 1 1 10 100 100 17.267 7.733 54.131 6 = n 22 10 4 16 7 49 28 24.062 –2.062 –20.62

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• Spring '18
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