Econometric Methods
Problem Set No. 3
Problem One (to be done before the lab session)
Do Problem 2.1 on pages 75-76 of the textbook Principles of Econometrics
Solutions
(a)
x
y
x-
(x- )2
y(x- )(y- )
0
6
-2
4
3.6
-7.2
1
2
-1
1
-0.4
0.4
2
3
0
0
0.6
0
3
1
1
Introductory Econometrics
Problem Set No. 2
Problem One (to be done before the lab session)
Problem 4.4
(a)
(b)
(c)
(d)
Problem Two (to be done during the lab session)
Download the files fair4.wf1 and fair4.def and Do Exercise 4.11 on page 160 of the text
Introductory Econometrics
Problem Set No. 1
Problem One (to be done before the lab session)
Read sections 1.4 to 1.8 of Chapter 1 of Using Eviews for Principles of
Econometrics, Fourth Edition and answer the following questions. For each answer
write no m
Econometric Methods
Problem Set No. 1
Problem One (to be done before the lab session)
Read sections 1.4 to 1.8 of Chapter 1 of Using Eviews for Principles of
Econometrics, Fourth Edition and answer the following questions. For each answer
write no more th
Question 1
This question raises issues around whether the elements for contract formation have been
met. I am satisfied that both parties had the intention to be legally bound. The interaction is
taking place in a commercial context where the assumption i
Common Law Assignment
1.
Issue:
Is there an enforceable contract between Tim and Jen that is a consequence of their
email interaction? More specifically does their interaction pass the negotiation stage
through the objective display of intention to be leg
Dr. Ceylan Yozgatlgil
METU-SPRING 2009
22.4.2009
STAT 497
MIDTERM EXAM I
QUESTIONS
1. Eliminate parameter redundancy from the following series and determine if they are
stationary and/or invertible.
a) X t 0.8 X t 1 0.15 X t 2 at 0.3at 1
b) X t X t 1 0.5
Question 1
Jen begins contractual negotiations with Tim with regard to hiring him as a DJ for her
grandparents anniversary celebration; within these negotiations, it is clearly inferred that
both parties intend to be legally bound by any contract formed.
Introductory Econometrics
Problem Set No.2
Problem 1
a) Graphs for each of the models are given below.
b) The predicted ratings for a worker with 10 years of experience are
Model 1:
^
RATING = 3.4464 0.001459* (1035)2 = 2.5345
Model 2:
^
RATING = 1.4276 +
IntroductoryEconometricsProblemSetNo.1
(PROBLEM ONE)
(a) Time series aggregate data.
(b) Mean is a given set of numbers this is the central tendency of a given sample set or population. It
is derived by dividing the sum of the values in the set by the num
Introductory Econometrics
Brief solutions to Problem Set No. 6
Problem One (to be done before the lab session)
Do Problem 6.4 on pages 246-247 of the textbook Principles of Econometrics
excluding parts (f) and (g).
Solution
`
(a) Any coefficient with a t-
Introductory Econometrics
Solutions to Problem Set No. 8
Problem One (to be done before the lab session)
Do Problem (a) and (b) of 8.4 on pages 322 to 323 of the textbook Principles of
Econometrics
Solutions
(a) Variance of residuals increases with Income
Introductory Econometrics
Solutions to Problem Set No. 7
Problem One (to be done before the lab session)
Do Problem 7.1 on page 287 of the textbook Principles of Econometrics
Solutions
(a)
An increase in the GPA of 1 unit increases the starting salary by
Introductory Econometrics
Solutions to Problem Set No. 9
Problem One (to be done before the lab session)
Do Problem 9.6 on page 384 of the textbook Principles of Econometrics. In part(s)
(a) and (c) dont worry about calculating confidence intervals, but c
Introductory Econometrics
Problem Set No. 5
Problem 1:
a) The value of the t statistic is calculated:
bk
t=
se (b k )
We reject the null hypothesis H 0 : k = 0 if |t| > t c = 2.
Variable
C
EDUC
2
EDUC
EXPER
2
EXPER
EXPER*EDU
C
HRSWK
t-value
1
2
3
4
5
Eqn
Introductory Econometrics
Problem Set No.2
Problem 1
WAGE =
1 +
2 EDUC +
3 EXPER +
4 EXPER
2
+e
a) The marginal effect of experience on wages is
WAGE
= 3 + 2 4 EXPER
EXPER
b) We expect
2 to be positive because workers, who have higher-level f educat
Introductory Econometrics
Problem Set No.4
Problem 1:
b1
=
se (b1 )
0.0091
= 0.476
0.0191
00276
(ii) The standard error for b2 : se( b2 =
= 0.00418
6.6086
(iii) The estimate for 3 : b3 = 0.0002 x (-6.9624) = -0.0014
(iv) We have:
SSE = 5.752896
2
SST
1518
Introductory Econometrics
Problem Set No. 1
Problem 1
a) Timeseries data
b) The mean, or expected value, of X is a weighted average of its values, the
weights being the probabilities that the values occur. The mean is often
symbolized by . It is the avera
Introductory Econometrics
Problem Set No.7
Problem1:
a) The plot of the residual against income shows very clearly that the value
of the residuals increases when income increases. However, the plot of the
residuals against age does not show the same effec
Introductory Econometrics
Problem Set No.6
Problem 1:
^ = 24200 + 1643GPA + 5033METRICS
SAL
(se)
R
2
(1078)
(352)
(456)
= 0.74
a) Interpret the estimated equation
When GPA increase 1 unit, the salary in dollars will also increase $1643,
other variables ar
Introductory Econometrics
Problem Set No.8
Problem 1:
a) Increasing 1% point in the mortgage rate in period t relative to what it
was in period t-1 decreases the number of new houses sold between
periods t and t-1 by 53,510 units.
A 95% confidence interva
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