Answer appropriately

2. Consider the following five observations. You are to do all the parts of this exercise using only a calculator, or in an Excel spreadsheet. X x - X (x - x)2 y - y (x - x) ( y - D) 7.3 3 2.7 5 1.2 0 9 [v. = [x = Fill in the table. Put the sums in the last row. What are the sample means x and y? ge Calculate b, and by and state their interpretation. Compute )?_1 x7 , 27 1 x y;- Use the values to show that E(x - x)? = Ex; - nx2 and)(x - x) (y - y) = Exy - nxy d) Use the least squares estimates from part b to compute the fitted values of y and complete the remainder of the table below. Put the sums in the last row. X xe 7.3 3 2.7 1 5 2 1.2 0 9 4 Ine, = = = e) On graph paper (or a grid you draw), plot the points and sketch the fitted regression line " = bj + box;. Locate and plot the point of the means, (x, y). Does your fitted line pass through that point? f) Show that for the point of the means, (x, y), y = b, + b2x. g) Show that the mean of the predicted 9 is equal to y, the mean of the y. h) Compute 6. Compute the var(by).The table below provides macroeconomic data for a hypothetical economy. Dollar amounts are all in constant-dollar terms. Actual Output Potential Output Unemployment Rate Year (billions of $) (billions of $) ($ of labour force) 2001 403 2002 407 2003 415 415 6.5 2004 420 418 5.9 2005 422 420 6.0 2006 425 429 2007 425 25 In which years was this economy experiencing a recessionary gap? O A. 2005, 2006, 2007 O B. 2002, 2006 O C. 2001, 2004 O D. 2001, 2006 Click to select your answer. Save for Later 05/31/20 Chapter 23 Assignment 1 1 590m earch O