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Below is the SRF for money as a function of 5. In CA#8 we estimated a money demand equation. Below is the SRF for money

Below is the SRF for money as a function of

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5. In CA#8 we estimated a money demand equation. Below is the SRF for money as a function of GDP and the interest rate. (3 points each except for part e, 6 points) InMt = -.30 + .901nMt-1 + .401nGDP+ + -.10InR+ + -.30InGDPt-1 + .20InR+-1 DW-Statt = 0.22 Describe four different ways in which we could estimate the first order auto correlation coefficient a. p(1.SRF) = b. p(2.SRF) = c. p(3.SRF) = d. p(4.DW) = e. Test at the 1% level whether or not there is positive auto correlation present

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