Sample slope is an observation/ case in a _________

QUESTION 1

1. Sample slope is an observation/ case in a _________

QUESTION 2

1. The “crmrte” variable is crime rate. d87 is the variable that equal 1 if it is in 1987 and 0 if in 1982.

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crmrte |      Coef.   Std. Err.      t    P>|t|     [95% Conf. Interval]

————-+—————————————————————-

d87 |   6.163754   6.223367     0.99   0.325     -6.20005    18.52756

_cons |    97.7089   4.400585    22.20   0.000     88.96638    106.4514

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Which of the following statements is the most correct?

QUESTION 3

1. After running the “regress” command in STATA, the default t-obtained reported in STATA is under the null hypothesis that _____

QUESTION 4

1. After running the “regress” command in STATA, the default p-value reported in STATA is under the null hypothesis that _______________

QUESTION 5

1. After running the “regress” command in STATA, the default 95% CI reported in STATA  is under the null hypothesis that ___________

Problem Set 10_OLS Simple Regression_Part2

QUESTION 1

1. The 401K.DTA dataset on Blackboard left panel “Dataset” are a subset of data analyzed by Papke (1995) to study the relationship between participation in a 401(k) pension plan and the generosity of the plan. The variable prate is the percentage of eligible workers with an active account; this is the variable we would like to explain. The measure of generosity is the plan match rate, mrate. This variable gives the average amount the firm contributes to each worker’s plan for each $1 contribution by the worker. For example, if mrate= 0.50, then a $1 contribution by the worker is matched by a 50cent contribution by the firm.

prate= a+b*mrate

Run the above regression equation in STATA. Do the data provide convincing evidence that the participation rate of the 401K is correlated with the plan match rate in the population? Explain.

Instruction: Please be sure to put the period at the end of your answer to receive full credits.

QUESTION 2

1. The 401K.DTA dataset on Blackboard left panel “Dataset” are a subset of data analyzed by Papke (1995) to study the relationship between participation in a 401(k) pension plan and the generosity of the plan. The variable prate is the percentage of eligible workers with an active account; this is the variable we would like to explain. The measure of generosity is the plan match rate, mrate. This variable gives the average amount the firm contributes to each worker’s plan for each $1 contribution by the worker. For example, if mrate= 0.50, then a $1 contribution by the worker is matched by a 50cent contribution by the firm.

prate= a+b*mrate

Run the above regression equation in STATA. Based on the p-value reported in the regression, can you reject the null that the population slope is 5? Explain.

Instruction: Please be sure to put the period at the end of your answer to receive full credits.

QUESTION 3

1. Copy of

The 401K.DTA dataset on Blackboard left panel “Dataset” are a subset of data analyzed by Papke (1995) to study the relationship between participation in a 401(k) pension plan and the generosity of the plan. The variable prate is the percentage of eligible workers with an active account; this is the variable we would like to explain. The measure of generosity is the plan match rate, mrate. This variable gives the average amount the firm contributes to each worker’s plan for each $1 contribution by the worker. For example, if mrate= 0.50, then a $1 contribution by the worker is matched by a 50cent contribution by the firm.

prate= a+b*mrate

Run the above regression equation in STATA. What are the null hypothesized population slope values that you can reject at a 5% significance level?

QUESTION 4

1. The 401K.DTA dataset on Blackboard left panel “Dataset” are a subset of data analyzed by Papke (1995) to study the relationship between participation in a 401(k) pension plan and the generosity of the plan. The variable prate is the percentage of eligible workers with an active account; this is the variable we would like to explain. The measure of generosity is the plan match rate, mrate. This variable gives the average amount the firm contributes to each worker’s plan for each $1 contribution by the worker. For example, if mrate= 0.50, then a $1 contribution by the worker is matched by a 50cent contribution by the firm.

prate= a+b*mrate

Run the above regression equation in STATA. Interpret the 95% CI for the slope in terms of the relationship between prate and mrate.

Instruction: Please be sure to put a period at the end of your answer to receive full credits.