Econometrics, Regression Analysis, Statistics
Introduction: The Workhorse of Empirical Economics Almost every empirical claim you have ever read in economics — that education raises earnings, that minimum wages do or do not cost jobs, that carbon taxes reduce emissions — rests on a regression. Usually an ordinary...
Econometrics, Macroeconomics, Microeconomics, Misc, Statistics
Welcome to the EconTutorials Content LibraryEverything published on EconTutorials — in one place, organised by subject. Whether you’re studying for AP Economics, Cambridge A-Level, IB, or undergraduate exams, use this page to find exactly what you need.🛒...
Econometrics, Multicollinearity
Imperfect multicollinearity With imperfect multicollinearity, an independent variable has a strong but not perfect linear function of one or more independent variables. This also means that there are also variables in the model that effects the independent variable....
Dummy variable, Econometrics
To understand regression analysis with dummy variables, let us take an example of using dummy variable with structural changes in an economy. For example, there was a structural change in U.S during 1981-1982, and also a severe recession in 2007 and 2008. So when we...
Dummy variable, Econometrics
What are Dummy Variables? In regression analysis, we often need to include qualitative (categorical) variables — variables that represent categories rather than numerical quantities. Examples include gender (male/female), employment status (employed/unemployed),...
Econometrics, Regression Analysis
What is Regression Analysis? Regression analysis is a statistical technique used to examine and quantify the relationship between variables. In economics and econometrics, it allows us to move beyond describing a relationship in words and instead estimate it...
