For the nations and household saving rates in Exercise 2.69, and using the data in file XR02069,
a. Construct a scatter diagram using the household saving rates in the United States and Germany as the two variables. It doesn’t really matter which one you consider to be the independent variable. In the years when U.S. saving rates were higher, did those in Germany seem to be higher as well?
b. Fit a linear equation to the scatter diagram. Is the slope positive or is it negative? Is the sign of the slope consistent with your intuitive observation in part (a)?