Consider the data in the file Growth.csvwhichcontains data on average growth rates over 1960-1995 for 65countries, along with variables that are potentially related togrowth. A complete description of the data is given in datadescription which is under the name Growth- DataDescription and can be found on Blackboard.
Using this data, carry out the following empiricalexercises:
Construct a table that shows the sample mean, std. deviation,minimum and maximum values for the variablesGrowth,Trade-Share, YearsSchool, Oil, Rev_Coups, Assasinations, andRGDP60.
Run a regression of Growthon TradeShare,YearsSchool,Rec_Coups, Assasinations and RGDP60.Showthe output of this regression in R (take a screenshot and crop theoutput summary in your word file that contains your answers).
What is the value on the coefficient on Rev_Coups?Is itstatistically significant? Do interpretation on thiscoefficient.
What is the value of the adjusted R-square? Do these variablesexplain the majority of country growth?
Use the regression to predict the average annual growth for acountry that has average values for all regressors.
Repeat (3) but now assume that the country’s value forTradeShareis one std. deviation above its mean.
Notes: Please submit through email an individual word file withyour answers WELL ORGANIZEDalong with your R code(.R file) at the end.
