Let us modify Computer Exercise C4 in Chapter 8 by using voting outcomes in 1990 for incumbents who were elected in 1988. Candidate A was elected in 1988 and was seeking reelection in 1990; voteA90 is Candidate A’s share of the two-party vote in 1990. The 1988 voting share of Candidate A is used as a proxy variable for quality of the candidate. All other variables are for the 1990 election. The following equations were estimated, using the data in VOTE2: image 1 ( tugas ekonomet) and image 2 (Tugas ekonomet 1) (i) Interpret the coefficient on voteA88 and discuss its statistical significance. (ii) Does adding voteA88 have much effect on the other coeffi

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Let us modify Computer Exercise C4 in Chapter 8 by using voting outcomes in 1990 for incumbents
who were elected in 1988. Candidate A was elected in 1988 and was seeking reelection in 1990;
voteA90 is Candidate A’s share of the two-party vote in 1990. The 1988 voting share of Candidate A is
used as a proxy variable for quality of the candidate. All other variables are for the 1990 election. The
following equations were estimated, using the data in VOTE2:

image 1 ( tugas ekonomet) and image 2 (Tugas ekonomet 1)

(i) Interpret the coefficient on voteA88 and discuss its statistical significance.
(ii) Does adding voteA88 have much effect on the other coefficients?

 

voteA90 = 70.81 + .282 prtystrA + 4.52 democA
(10.01) (.052)
(1.06)
-839 log(expendA) – 1.846 log(expendB) + .067 voteA88
(.292)
(.687)
(.053)
n = 186, R = 499, R = 485.
Transcribed Image Text:voteA90 = 70.81 + .282 prtystrA + 4.52 democA (10.01) (.052) (1.06) -839 log(expendA) – 1.846 log(expendB) + .067 voteA88 (.292) (.687) (.053) n = 186, R = 499, R = 485.
voteA90 = 75.71 + .312 prtystrA + 4.93 democA
(9.25) (.046)
(1.01)
-.929 log(expendA) – 1.950 log(expendB)
(.684)
(.281)
n = 186, R = .495, R = 483,
Transcribed Image Text:voteA90 = 75.71 + .312 prtystrA + 4.93 democA (9.25) (.046) (1.01) -.929 log(expendA) – 1.950 log(expendB) (.684) (.281) n = 186, R = .495, R = 483,
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