Consider a simple model to explain a country’s alcohol related automobiles incidents (totaai) in terms of police police officers (topps): Estimating (a) using quarterly data from 1991-2024 gives: log(totaait) = 12.58 − 0.66 log(topps); (2.22)  (0.33) n = 95; R2 = :439; 2. Test the null hypothesis that the coefficient on the log(topps) has no effect on the log(totaait) at the 5% level.

MATLAB: An Introduction with Applications
6th Edition
ISBN:9781119256830
Author:Amos Gilat
Publisher:Amos Gilat
Chapter1: Starting With Matlab
Section: Chapter Questions
Problem 1P
icon
Related questions
Question

Consider a simple model to explain a country’s alcohol related automobiles incidents (totaai) in terms of police police officers (topps):

Estimating (a) using quarterly data from 1991-2024 gives:

log(totaait) = 12.58 − 0.66 log(topps);

(2.22)  (0.33)

n = 95; R2 = :439;

2. Test the null hypothesis that the coefficient on the log(topps) has no effect on the log(totaait) at the 5% level. 

3. Suppose that both total alcohol incidents (totaai) and total police officers (totts) have a positive trend. Given this information, discuss whether the OLS estimates of ˛1 from equation (a) is unbiased (i.e., E(˛ˆ 1) = ˛1)?

Expert Solution
steps

Step by step

Solved in 3 steps

Blurred answer
Recommended textbooks for you
MATLAB: An Introduction with Applications
MATLAB: An Introduction with Applications
Statistics
ISBN:
9781119256830
Author:
Amos Gilat
Publisher:
John Wiley & Sons Inc
Probability and Statistics for Engineering and th…
Probability and Statistics for Engineering and th…
Statistics
ISBN:
9781305251809
Author:
Jay L. Devore
Publisher:
Cengage Learning
Statistics for The Behavioral Sciences (MindTap C…
Statistics for The Behavioral Sciences (MindTap C…
Statistics
ISBN:
9781305504912
Author:
Frederick J Gravetter, Larry B. Wallnau
Publisher:
Cengage Learning
Elementary Statistics: Picturing the World (7th E…
Elementary Statistics: Picturing the World (7th E…
Statistics
ISBN:
9780134683416
Author:
Ron Larson, Betsy Farber
Publisher:
PEARSON
The Basic Practice of Statistics
The Basic Practice of Statistics
Statistics
ISBN:
9781319042578
Author:
David S. Moore, William I. Notz, Michael A. Fligner
Publisher:
W. H. Freeman
Introduction to the Practice of Statistics
Introduction to the Practice of Statistics
Statistics
ISBN:
9781319013387
Author:
David S. Moore, George P. McCabe, Bruce A. Craig
Publisher:
W. H. Freeman