A researcher wishes to examine the relationship between the population growth rate (POPG), the percentage change in the size of a country’s population and a country’s average life expectancy (LEXP). The POPG variable is measured in percentages, so if POPG = 6, then the population growth rate is 6%. Specifically, the researcher wants to estimate the relationship: LEXPi = β0 + β1 (POPGi) + ui, where i denotes observations of an entire country in 1998. The researcher collects data on 68 countries and reports the results. Please answer the following questions. The researcher, being an experienced growth economist, believes there to be a negative relationship between population growth and life expectancy. Suppose the OLS estimates of population parameters give the following SRF (standard errors are provided below each estimate in parentheses) Please answer the following: Provide an economic interpretation of the intercept coefficient/ Does that value have economic meaning? Provide an economic interpretation of the slope coefficient. Suppose a country had a population growth rate of 2%. What would you expect the life expectancy for that country to be? Write down the null and alternate hypotheses to test the researcher’s beliefs. Compute the t-statistic for the hypothesis test of the hypotheses in part (4). Identify the degrees of freedom and find the critical t-value, t*, for your test at the 1% level of significance. Compute the range of values in which the p-value must lie

MATLAB: An Introduction with Applications

6th Edition

ISBN:9781119256830

Author:Amos Gilat

Publisher:Amos Gilat

Chapter1: Starting With Matlab

Section: Chapter Questions

Problem 1P

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Can you please check my answers, I dont think they are right, the first part is the question the second part are my answers

Question 1: A researcher wishes to examine the relationship between the population growth rate (POPG), the percentage change in the size of a country’s population and a country’s average life expectancy (LEXP). The POPG variable is measured in percentages, so if POPG = 6, then the population growth rate is 6%. Specifically, the researcher wants to estimate the relationship: LEXP_i = β₀ + β₁ (POPG_i) + u_i, where i denotes observations of an entire country in 1998. The researcher collects data on 68 countries and reports the results. Please answer the following questions. The researcher, being an experienced growth economist, believes there to be a negative relationship between population growth and life expectancy. Suppose the OLS estimates of population parameters give the following SRF (standard errors are provided below each estimate in parentheses)

Please answer the following:

Provide an economic interpretation of the intercept coefficient/ Does that value have economic meaning?
Provide an economic interpretation of the slope coefficient.
Suppose a country had a population growth rate of 2%. What would you expect the life expectancy for that country to be?
Write down the null and alternate hypotheses to test the researcher’s beliefs.
Compute the t-statistic for the hypothesis test of the hypotheses in part (4).
Identify the degrees of freedom and find the critical t-value, t*, for your test at the 1% level of significance.
Compute the range of values in which the p-value must lie.