Mathematics, 20.04.2021 17:30 lelen2021
For the U. S. economy, let gprice denote the monthly growth in the overall price level and let gwage be the monthly growth in hourly wages. [These are both obtained as differences of logarithms: gprice 5 Dlog1price2 and gwage 5 Dlog1wage2. 4 Using the monthly data in WAGEPRC we estimate the following distributed lag model: gprice 5 2.00093 1 .119 gwage 1 .097 gwage21 1 .040 gwage22 1.000572 1.0522 1.0392 1.0392 1 .038 gwage23 1 .081 gwage24 1 .107 gwage25 1 .095 gwage26 1.0392 1.0392 1.0392 1.0392 1 .104 gwage27 1 .103 gwage28 1 .159 gwage29 1 .110 gwage210 1.0392 1.0392 1.0392 1.0392 1 .103 gwage211 1 .016 gwage212 1.0392 1.0522 n 5 273, R2 5 .317, R2 5 .283. (i) Sketch the estimated lag distribution. At what lag is the effect of gwage on gprice largest
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For the U. S. economy, let gprice denote the monthly growth in the overall price level and let gwage...
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