In a regression of average wages ( W , $) on the number of employees ( N ) for arandom sample of 30 firms, the following regression results were obtained:* 11eb5d88_3d1c_439c_b078_8db910a6d2af_SM2027_00 (1) 11eb5d88_3d1c_439d_b078_518292784a3d_SM2027_00 (2) a. How do you interpret the two regressions b. What is the author assuming in going from Eq. (1) to Eq. (2) Was he worried about heteroscedasticity How do you know c. Can you relate the slopes and intercepts of the two models d. Can you compare the R 2 values of the two models Why or why not

Basic Econometrics 5th Edition by Damodar Gujarati,Dawn Porter

النسخة 5الرقم المعياري الدولي: 978-0073375779

Basic Econometrics 5th Edition by Damodar Gujarati,Dawn Porter

النسخة 5الرقم المعياري الدولي: 978-0073375779

تمرين 2

In a regression of average wages ( W , $) on the number of employees ( N ) for arandom sample of 30 firms, the following regression results were obtained:*

(1)

(2)
a. How do you interpret the two regressions
b. What is the author assuming in going from Eq. (1) to Eq. (2) Was he worried about heteroscedasticity How do you know
c. Can you relate the slopes and intercepts of the two models
d. Can you compare the R 2 values of the two models Why or why not

التوضيح

موثّق

The Given information:
The estimated re...