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FAQs__Assignment - over 3 Is the premium you gave the...

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Frequently Asked Questions from your computer assignment 1. I missed one particular country’s weight when calculating a particular variable. There is no data for that country’s variable, so just use the remaining available countries’ data. 2. I cannot get the results consistent with the hypotheses. It is not your fault, and what you are required is to run the regression in excel. From your empirical findings, you should realize that reality of your empirical testing is very often inconsistent with your hypotheses. Why does this situation happen? o It happens because of the potential problems of your testing, data, and so on. For instance, some inherited econometric problems of the data have to be considered by your estimation models. Do we need to know how to handle the problems? o You are not required, however you are encouraged to think it
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Unformatted text preview: over. 3. Is the premium you gave the weighted average of source countries? Yes 4. what is literature review, how can we write this part? Please check the model papers. Basically, this part presents your position in currently existing studies. It answers the questions like, “why” should I have this study? “what” contribution is your study. 5. do we need to read all the papers you listed in the reference? No, only choose the most relevant ones. 6. do we need get more papers to read? It is up to you, choose some most relevant ones. 7. some paper using relative cost of capital, some paper using relative return of capital, what should I follow? Pls follow your assignment’s argument. 8. What should I write for data source? They are from THIS SUBJECT website, and that is enough....
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