Part of test #3 is a take home test. I want you to go to the Economic Report of the Presidentfor 2010 . When you google it, there will be many sites with the information to choose from. The easiest to use to get the 2010 report is from the site identified as “gpo.gov”. You will want to cut and paste data for five variables for the 11 year period 1960 – 1970. The variables are:
Consumption (Table B2) – For consumption data use personal consumption expenditures, not
government consumption expenditures.
Income (GDP) (Table B2)
Prime Interest Rate (Table B73)
Population Size (Table B34)
Dow Jones Stock Average (Table B95)
Cut and Paste the data onto your EXCEL spreadsheet. Then calculate onemultiple regression of consumption (the “Y” variable i.e., consumption is the dependent variable) on the other four variables. Print out your regression results and bring the print out to the test on Monday. You will need it to answer 5 questions on the test about coefficients, standard errors, R2, and the standard error of estimate.
Copy the data exactly as written in the President’s report. If it says 519.3 and the heading at the top says the data are in millions, don’t write 519,300,000.; write 519.3