Question: elect 7 counties in a US state. Search https://www.bea.gov/data/income-saving/personal-income-by-state for personal income per capita for those counties. Include in your final assignment from 1971 to

elect 7 counties in a US state. Search https://www.bea.gov/data/income-saving/personal-income-by-state for personal income per capita for those counties. Include in your final assignment from 1971 to 2020. Identify whether beta convergence holds in the chosen state.

  1. Evaluate the convergence .
  2. Construct a scatterplot where the growth rate for the period is on the y-axis, and the personal income per capita for the initial year of the period under analysis is on the x-axis.
  3. Indicate whether the convergence holds graphically.
  4. Evaluate graphically if there is spatial dependency in the period of analysis (see slide 29 of the presentation).
  5. Present the Moran Test (graph) and explain your result.
  6. Evaluate -convergence by running OLS, SAR, and SEM. In each case:
    • Explain the sign of and its meaning.
    • Calculate and explain the rate of convergence (). Explain R2.
    • Evaluate homoscedasticity .
    • Present a summary of your regressions in GeoDa

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Economics Questions!