Question
4. Use regression analysis in Excel to estimate the beta coefficient using the nominal interest rate as the dependent variable and inflation rate as an
4. Use regression analysis in Excel to estimate the beta coefficient using the nominal interest rate as the dependent variable and inflation rate as an independent variable during 1987-2017, and interpret the meaning of estimated equation and beta coefficient.
Inflation Premium Rate | Nominal Interest Rate | Year |
3.7 | 9.38 | 1987 |
4.1 | 9.71 | 1988 |
4.8 | 9.26 | 1989 |
5.4 | 9.32 | 1990 |
4.2 | 8.77 | 1991 |
3 | 8.14 | 1992 |
3 | 7.22 | 1993 |
2.6 | 7.97 | 1994 |
2.8 | 7.59 | 1995 |
2.9 | 7.37 | 1996 |
2.3 | 7.27 | 1997 |
1.6 | 6.53 | 1998 |
2.2 | 7.05 | 1999 |
3.4 | 7.62 | 2000 |
2.8 | 7.08 | 2001 |
1.6 | 6.49 | 2002 |
2.3 | 5.66 | 2003 |
2.7 | 5.63 | 2004 |
3.4 | 5.23 | 2005 |
3.2 | 5.59 | 2006 |
2.9 | 5.56 | 2007 |
3.8 | 5.63 | 2008 |
-0.4 | 5.31 | 2009 |
1.6 | 4.94 | 2010 |
3.2 | 4.64 | 2011 |
2.1 | 3.67 | 2012 |
1.5 | 4.23 | 2013 |
1.6 | 4.16 | 2014 |
0.1 | 3.89 | 2015 |
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Estimating Beta Coefficient using Regression Analysis in Excel This document outlines the process of employing regression analysis in Excel to estimate the beta coefficient which quantifies the histor...Get Instant Access to Expert-Tailored Solutions
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Basic Business Statistics Concepts And Applications
Authors: Mark L. Berenson, David M. Levine, Timothy C. Krehbiel
12th Edition
132168383, 978-0132168380
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