ASSIST WITH PART C You are an econometrician working in the Ministry of Finance in Trinidad and Tobago and usinga database consisting of 108 monthly observations on automobile accidents for Trinidad andTobago between January 2011 and December 2019, you estimate the following model:log( totacc,) = Bo + Bit+ B2feb, + Bzmar,+ B12dec, + µ.where totacc is the total number of accidents, t is time (measured in months), and feb, mar, dec,are dummy variables indicating whether time period t corresponds to the appropriate month.You obtain the following OLS results:Source IdfMSNumber of obs =108F( 12,95)31.06.083536726.00268944Model I1.0024407112Prob > F0.0000Residual.25549676595R-squaredAdj R-squared0.79690.7712Total |1.25793748107.011756425Root MSE.05186ltotacc ICoef.Std. Err.P>|t|[95% Conf. Interval].0027471.000161117.060.000.0024274.0030669.0058479.1283621feb I.0244475.0244491-1.753.260.0840.002-.0426865-.0912208.031287-.030058-.0164521-.0283678mar.0798245apr I.0184849.02445170.760.452.0670277.0320981.0201918.0244554.0806483.06875151.310.193mayjun Ijul.02446020.830.4110.1280.030-.0109886.0053981-.0062397.0334949.02264.0375826.0244661.54.0861538.053983.02447292.21.1025679aug Isep Ioct |nov |.042361.0821135.0244809.02448990.0870.001.0909617.1307321.733.35.0712785.02449992.910.005.1199171dec Icons I.0245111.0190028.09615723.920.000.0474966.144817810.46857550.890.00010.4308410.50629The team meeting will be held in 3 days from the date of the assignment and because of thelimitation of time the Chief economist has given vou the following guidelines: (c) Consider the following change in the time series model: Ye = P1Yt-1 + U;where ut follows a white noise process. What is the condition we need to impose on øl in order forthe series yt to be weakly stationary? Why?P.T.O(d) Consider the following change in the time series model: y: = Bo + B1×1-1 + B2x1-2 + Uzwhere y, is some outcome variable of interest, and x,-1 and Xx-2 are strictly exogenous explanatoryvariables. How would you test for the presence of serial correlation in the residual u;?(e) Briefly explain how you would carry out econometric analysis of the model in (d) if u̟ is foundto be stationary, but positively serially correlated.

Given Information: Consider the given change in the time series model: yt=φyt-1+ut ,…

You are an econometrician working in the Ministry of Finance in Trinidad and Tobago and using a database consisting of 108 monthly observations on automobile accidents for Trinidad and Tobago between January 2011 and December 2019, you estimate the following model: log( totacc,) = Bo+ Bit+ B2feb, + Bzmar,. + B12dec, + µ. where totacc is the total number of accidents, t is time (measured in months), and feb, mar,, dec, are dummy variables indicating whether time period t corresponds to the appropriate month. You obtain the following OLS results: Source I df MS Number of obs 108 F( 12, 95) Model I Residual | 1.00244071 .255496765 12 95 .083536726 .00268944 31.06 0.0000 0.7969 Prob > F R-squared Adj R-squared - 0.7712 .05186 Total I 1.25793748 107 .011756425 Root MSE ltotacc I Coef. Std. Err. t P>|t| [95 Conf. Interval] .0027471 .0001611 17.06 0.000 .0024274 .0030669 -.0426865 .0798245 .0184849 .0320981 .0201918 .0375826 .0244475 .0244491 .0244517 .0244554 .0244602 .024466 .0244729 .0244809 .0244899 -1.75 3.26 feb | 0.084 0.002 -.0912208 .0058479 .031287 -.030058 .1283621 .0670277 mar | 0.76 0.452 0.193 apr | may I jun I jul I aug I sep I oct I -.0164521 -.0283678 -.0109886 .0053981 1.31 0.83 .0806483 .0687515 .0861538 .1025679 .0909617 0.411 1.54 0.128 .053983 .042361 2.21 1.73 3.35 0.030 -.0062397 .0334949 .02264 0.087 0.001 .0821135 .0712785 .130732 .0244999 nov | dec I .1199171 .1448178 2.91 0.005 .0961572 10.46857 .0245111 .0190028 3.92 550.89 0.000 0.000 .0474966 10.43084 cons I 10.50629 The team meeting will be held in 3 days from the date of the assignment and because of the limitation of time the Chief econor iet has given vou the following quidelines:

1st Edition

ISBN:9781938168383

Author:Jay Abramson

Publisher:Jay Abramson

Chapter6: Exponential And Logarithmic Functions

Section6.8: Fitting Exponential Models To Data

Problem 3TI: Table 6 shows the population, in thousands, of harbor seals in the Wadden Sea over the years 1997 to...