c-Write down the econometric model for the above estimation by d-using the information obtained from above table d-Write down the least squares line by using the information obtained from above table e-Explain what each coefficient of the least squares line indicates f-f-
Correlation
Correlation defines a relationship between two independent variables. It tells the degree to which variables move in relation to each other. When two sets of data are related to each other, there is a correlation between them.
Linear Correlation
A correlation is used to determine the relationships between numerical and categorical variables. In other words, it is an indicator of how things are connected to one another. The correlation analysis is the study of how variables are related.
Regression Analysis
Regression analysis is a statistical method in which it estimates the relationship between a dependent variable and one or more independent variable. In simple terms dependent variable is called as outcome variable and independent variable is called as predictors. Regression analysis is one of the methods to find the trends in data. The independent variable used in Regression analysis is named Predictor variable. It offers data of an associated dependent variable regarding a particular outcome.
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Dependent Variable: CO2 |
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Method: Least Squares |
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Date: 04/20/17 Time: 09:46 |
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Sample: 1990 2013 |
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Included observations: 24 |
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Variable |
Coefficient |
Std. Error |
t-Statistic |
Prob. |
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C |
2.002813 |
6.458672 |
0.310097 |
0.7597 |
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GDP |
0.022114 |
0.011872 |
1.862670 |
0.0773 |
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ENERGY |
-0.734352 |
0.328388 |
-2.236233 |
0.0369 |
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POP |
0.203927 |
0.293686 |
0.694371 |
0.4954 |
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R-squared |
0.825079 |
Mean dependent var |
3.625982 |
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Adjusted R-squared |
0.798841 |
S.D. dependent var |
0.108170 |
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S.E. of regression |
0.048515 |
Akaike info criterion |
-3.062883 |
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Sum squared resid |
0.047074 |
Schwarz criterion |
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-2.866541 |
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Log likelihood |
40.75460 |
Hannan-Quinn criter. |
-3.010793 |
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F-statistic |
31.44583 |
Durbin-Watson stat |
1.410912 |
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Prob(F-statistic) |
0.000000 |
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- c-Write down the econometric model for the above estimation by d-using the information obtained from above table
- d-Write down the least squares line by using the information obtained from above table
- e-Explain what each coefficient of the least squares line indicates f-f-
- f-Explain what R2 indicates
- g-Are the variables used in estimation analysis are significant? Explain how you decide.
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