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Business, 28.05.2021 14:10 MarishaTucker

Explain in detail how would you analyze each one, identifying what is the outcome variable of interest, the independent variable of interest and the appropriate methodology of analysis. You will have to provide a clear argument about why that specific methodology is the most appropriate for the specific case. You are tasked by the Mexico City government to analyze the effects that the construction of a subway line had on the distribution of income in the city. The subway line goes at street level, creating a barrier across what once was a thriving neighborhood in the city and dividing it into two new neighborhoods. The subway line was build in 1960, which was a census year. This means we have information on the characteristics of the population of the neighborhood before the line was constructed. The city authorities give you information about the characteristics of both new neighborhoods and their population in the following census year, 1970. You have data on the educational attainment of the households, their income levels, their main characteristics and other information for both 1960 and 1970. They ask you to provide them advice on the socioeconomic effects of the line construction, particularly in terms of producing the decay of one of the two new neighborhoods. How will you proceed?

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