Share:

Dear Students! Please share your Assignment files as you recieve in your lms so it can be discussed/solved timely. Share assignments files by click on UPLOAD button.

ECO601 Assignment 1 Solution/Discussion Fall 2019  

  RSS

admin
(@admin)
Admin
Joined: 1 year ago
Posts: 1361
19/11/2019 9:11 pm  

ECO601 BUSINESS ECONOMETRICS Assignment 1 Solution/Discussion Fall 2019


SEMESTER FALL 2019

BUSINESS ECONOMETRICS (ECO601)  

ASSIGNMENT

DUE DATE: 21ST NOVEMBER, 2019

MARKS: 10

 

The Case:

Expansionary monetary policy didn’t play its role effectively in the increase in exports as it was expected to be done similar in 2013-2014.  The present government of Pakistan is trying its best to increase the exports and reduce the imports. For this purpose, government uses the tight monetary policy. Government increases the interest rate and also tries to bring the exchange rate at adjustable position. Remittances also play vital role in decreasing current account deficit. Remittances and Exports play role to increase the economic growth of the country. In this assignment, Growth rate is taken as a function of exports, remittances, and Capital .In order to find out the effect of these variables on Growth rate, following model has been proposed for estimation:

Growth rate = β0 + β1 (Exports) + β2 (Remittances) + β3 (Capital) +    ………….  (1)

Model (1) can also be written as:

   ……………  (2) 

In model (2):

  : Real GDP Growth Rate (Percent)

  : Exports of Principal Commodities (Million Dollars)

  : Workers’ Remittances (Million Dollars) 

 

: Gross Fixed Capital Formation (Million Rupees)

 

   : Intercept term

 

    : Error term

 

: Slope Coefficients.

 

Data on these variables is taken from 1995 to 2015. Data has been taken from State bank of Pakistan website”.

 

Years

Economic Growth (GDP)

Exports (E)

Workers’

Remittances (R)

Gross Fixed

Capital

Formation (K)

1995

4.1

8,137.2

1,866.10

317,845

1996

6.6

8,707.1

1,461.17

368,424

1997

1.7

8,320.3

1,409.47

396,859

1998

3.5

8,627.7

1,489.55

402,845

1999

4.2

7,779.3

1,060.19

409,357

2000

3.9

8,568.6

983.73

607,410

2001

2.0

9,201.6

1,086.57

659,325

2002

3.1

9,134.6

2,389.05

680,373

2003

4.7

11,160.2

4,236.85

736,433

2004

7.5

12,313.3

3,871.58

844,836

2005

9.0

14,391.1

4,168.79

1,134,942

2006

5.8

16,451.2

4,600.12

1,711,522

2007

5.54

16,976.2

5,493.65

1,960,232

2008

4.99

19,052.3

6,451.24

2,066,941

2009

0.36

17,688.0

7,811.43

2,263,636

2010

2.58

19,290.0

8,905.90

2,504,231

2011

3.62

24,810.4

11,200.97

2,288,325

2012

3.84

23,624.3

13,186.62

2,701,458

2013

3.65

24,460.5

13,921.66

2,990,126

2014

4.03

25,109.6

15,837.71

3,354,999

2015

4.24

23,667.3

18,720.00

3,701,627

 

Requirements:  

Using above information, estimate the multiple regression model by using Microsoft Excel Data Analysis Tool and find out as well as interpret coefficients and R square value:

  1. Coefficients (β0, β1, β2, β3)
  2. R square
  3. Adjusted R square
  4. Calculate F-value                        

Marks: (4 + 2 + 2 +2)

Note:           You   are     required      to       give           interpretation       of       required regression/estimation results in tabular form given below:

Dependent Variable:  Growth Rate (

R square value

 

R square interpretation

 

Adjusted R square value

 

F-value

 

 

IMPORTANT:

24 hours extra / grace period after the due date are usually available to overcome uploading difficulties. This extra time should only be used to meet the emergencies and above mentioned due dates should always be treated as final to avoid any inconvenience.

OTHER IMPORTANT INSTRUCTIONS:

DEADLINE:

  • Make sure to upload the solution file before the due date on VULMS.
  • Any submission made via email after the due date will not be accepted.
  • FORMATTING GUIDELINES:
  • Use the font style “Times New Roman” or “Arial” and font size “12”.
  • It is advised to compose your document in MS-Word format.
  • You may also compose your assignment in Open Office format.
  • Use black and blue font colors only.

RULES FOR MARKING

  • Please note that your assignment will not be graded or graded as Zero (0), if:
  • It is submitted after the due date.
  • The file you uploaded does not open or is corrupt.
  • It is in any format other than MS-Word or Open Office; e.g. Excel, PowerPoint, PDF etc.
  • It is cheated or copied from other students, internet, books, journals etc.

 

Note related to load shedding: Please be proactive

Dear students!

As you know that Pre Mid-Term semester activities have started and load shedding problem is also prevailing in our country. Keeping in view the fact, you all are advised to post your activities as early as possible without waiting for the due date. For your convenience; activity schedule has already been uploaded on VULMS for the current semester, therefore no excuse will be entertained after due date of assignments, quizzes or GDBs.

How is this website, please share your feedback through this link: https://forms.gle/mZ5rsd995RxU2gEZ7


Quote
admin
(@admin)
Admin
Joined: 1 year ago
Posts: 1361
19/11/2019 9:40 pm  

ECO601 BUSINESS ECONOMETRICS Assignment 1 Solution/Discussion Fall 2019


 

Students having same subject can start discussion here to Solve assignment quiz and can clear their concepts until solution is provided. 🖐️

How is this website, please share your feedback through this link: https://forms.gle/mZ5rsd995RxU2gEZ7


ReplyQuote
Share:

Please Login or Register