# ch10-1 - Chapter 10 Regression with Panel Data(Part 1 Trafc...

This preview shows pages 1–4. Sign up to view the full content.

Chapter 10 Regression with Panel Data (Part 1)

This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document
Traffic Deaths and Alcohol Taxes There are approximately 40,000 highway traffic fatalities each year in US. Approximately one-third of fatal crashes involve a driver who was drinking. One study estimates that as many as 25% of drivers on the road between 1AM and 3AM have been drinking. A driver who is legally drunk is at least 13 times as likely to cause a fatal crash as a driver who has not been drinking. We study how effective government policies designed to discourage drunk driving actually are in reducing traffic deaths.
Panel Data The state traffic fatality data we will study are panel data . Data are for n = 48 states, where each state is observed in T = 7 time periods (1982, ..., 1988). Panel data consist of observation on the same n entities at two or more time periods T . If the data set contains observations on the variables X and Y , then the data are denoted ( X it , Y it ) , i = 1, ..., n and t = 1, ..., T , where the first subscript, i , referers to the entity being observed, and the second subscript, t , refers to the date at which it is observed.

This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

### What students are saying

• As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

Kiran Temple University Fox School of Business ‘17, Course Hero Intern

• I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

Dana University of Pennsylvania ‘17, Course Hero Intern

• The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

Jill Tulane University ‘16, Course Hero Intern