For each chart that you create, add a main title and axis titles. When

the chart contains more than one line, use a different color and shape for each line and add a legend.

Use the file Wage38.csv, The file contains annual series of average nominal hourly wages for males and females in the province of Nova Scotia for the job of Health care/social assistance and the industry is expressed in dollars per hour. The file also contains the annual series of the consumer price index base 100 = 2002 in that province.

1. Plot the evolution of the hourly nominal wage for males and females on the same chart. Interpret what you see: what kind of trending behavior, is there a difference between males and females in terms of trends orfluctuations, etc.

2. Plot the evolution of hourly real wage in dollars of 2002 for males and females on the same chart. Interpret what you see and compare this chart with the one you obtained in the previous question. Which chart between this one and the one produced in the previous question provides a better picture of the evolution of the standard of living of individuals working in that industry?

Explain.

3. Fit a linear trend to both real wage series and plot the two trends on the same graph. Interpret what you see: is the wage gap changing on average? What is the annual change on average over that period for males and females? Discuss (Hint: To answer the question, you can look at the coefficient of time of the trend equations).

4. Detrend the real wage series using the linear trends computed in the previous question. Since the series are annual, the detrended series are the cyclical components. Using a scatter plot, analyze the comovement between the two cyclical components. Try to explain your results: e.g. why there is a positive, negative or no comovement between the two variables?

Wage38.csv - Notepad File Edit Format View Help "Year", "Males", "Females", "CPI" 1997, 14. 47, 13. 28,90 1998, 14.85, 13. 46, 90.6 1999, 15. 1, 14. 51, 92. 1 2000, 16. 28, 14.91,95.3 2001, 16. 91, 15.84, 97.1 2002, 18. 16, 16. 15, 100 2003, 18. 5, 16.73, 103.4 2004, 19. 1, 18. 14, 105.3 2005, 19.7, 18. 39, 108.2 2006, 20. 03, 19.36, 110.4 2007, 20.71, 19.7, 112.5 2008, 21. 39, 20.27, 115.9 2009, 23.29, 21.65, 115.7 2010, 23. 36, 21. 94, 118.2 2011, 25. 11, 22. 34, 122.7 2012, 26.36, 22.92, 125.1 2013, 26.34, 23. 01, 126.6 2014, 26. 01, 24. 06, 128.8 2015, 25.83, 24.28, 129.3 2016, 25. 74, 25. 04, 130.9 2017, 27. 86, 25.32, 132.4 2018, 28. 86, 25.75,135.3 2019, 26.36, 26.6,137.5