1971 - 1996: The following investment function is estimated by using OLS for the period between...

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1971 - 1996: The following investment function is estimated by using OLS for the period between 1₁ = 1633.55 +154.32Y, +0.12M, + 584.54D,-41.42D,Y, + 0.34D,M, Where, I = investment. Y₁ = GNP, and M₁ = Imports (1 for t = 1980 - 1996 o fort 1971-1979 D₁ = SSR = 440679 a. Using the estimates given above write two separate investment functions for the periods 1971- 1979 and 1980-1996. b. Given that I= -996.5 + 116.19Y, + 0.37M, Test if the change in political power in 1980 caused a structural change in the investment function. t=1971-1996, SSR=493245 1971 - 1996: The following investment function is estimated by using OLS for the period between 1₁ = 1633.55 +154.32Y, +0.12M, + 584.54D,-41.42D,Y, + 0.34D,M, Where, I = investment. Y₁ = GNP, and M₁ = Imports (1 for t = 1980 - 1996 o fort 1971-1979 D₁ = SSR = 440679 a. Using the estimates given above write two separate investment functions for the periods 1971- 1979 and 1980-1996. b. Given that I= -996.5 + 116.19Y, + 0.37M, Test if the change in political power in 1980 caused a structural change in the investment function. t=1971-1996, SSR=493245