I need to develop a regression in stata that represents the varaibles that affect crime rate. I need help to come up with an initial regression equation that makes sense with the theory available so i can improve it from there, this is the information: Project Report $($The determinants of the crime rate in

North Carolina in $1985)$

Your mission is to build a regression model to explain the crime rate $($for $1985)$ in the US

State of North Carolina. You should build a good econometric model that $$explains$$ the

dependent variable. Build your model carefully and methodically, using Stata and according

to the procedures outlined and discussed in laboratories and lectures. Document what you do$.$

It is important you develop your model according to acceptable economic practices. All

necessary materials $($data$,$ readings, etc.$)$ will be posted to the Module Moodle page $($under

the $$Project$$ Section $$ at the bottom of the page$).$

Variables $/$ Data

These data refer to the US state of North Carolina in $1985.$ There are $89$ observations $($by

county$).$ Your dependent variable is $$crimerate$,$ it is the number of crimes committed per$-$

person in each county. The rest of the data are as follows:

county county identifier $($don$$t use as explanatory variable$)$

prbarr 'probability' of arrest

prbconv 'probability' of conviction if arrested

prbpris 'probability' of prison sentence if convicted

avgsen avg. sentence, days

polpc police per capita

density people per sq$.$ mile

taxpc tax revenue per capita

west $=1$ if in western N$.$C$.$

central $=1$ if in central N$.$C$.$

urban $=1$ if in SMSA

pctmin$80$ percentage of population ethnic minority in $1980$

wcon weekly wage in construction

wtuc weekly wage in transport, utilities and communications

wtrd weekly wage, wholesale, retail trade

wfir weekly wage, financial, insurance, real estate

wser weekly wage, service industry

wmfg weekly wage, manufacturing

wfed weekly wage, federal employees

wsta weekly wage, state employees

wloc weekly wage, local govt employees

pctymle percent of population young male

crmrtelag crimerate variable in $1984($previous year$)$Note these data have come via the Wooldridge textbook. I don$$t have further information on

variable definitions, but they are reasonably intuitive.