Use the data in COUNTYMURDERS to answer these questions. Use only the data for 1996. (i) How
Question:
Use the data in COUNTYMURDERS to answer these questions. Use only the data for 1996.
(i) How many counties had zero murders in 1996? How many counties had at least one execution? What is the largest number of executions?
(ii) Estimate the equation
murders = β0 + β1execs + u
by OLS and report the results in the usual way, including sample size and R-squared.
(iii) Interpret the slope coefficient reported in part (ii). Does the estimated equation suggest a deterrent effect of capital punishment?
(iv) What is the smallest number of murders that can be predicted by the equation? What is the residual for a county with zero executions and zero murders?
(v) Explain why a simple regression analysis is not well suited for determining whether capital punishment has a deterrent effect on murders.
Step by Step Answer:
Introductory Econometrics A Modern Approach
ISBN: 9781337558860
7th Edition
Authors: Jeffrey Wooldridge