1. Interpret your results (all estimated coefficients). Use what you learned during your International Economics course. What do your results say about the predicted trade flows between two countries?

+ Regression Statistics Multiple R 0.580550522 R Square 0.337038909 Adjusted R Square 0.306440704 Standard Error 2.78018747 Observations 205 ANOVA df Significance F 8.0025E-14 Regression Residual Total SS MS F 9 766.2575627 85.13973 11.01499 195 1507.241262 7.729442 204 2273.498825 Standard Upper Lower Upper Coefficients Error t Stat P-value Lower 95% 95% 95.0% 95.0% 15837.90596 6447.211648 2.456551 0.014902 3122.689032 28553.12 3122.689 28553.12 Intercept Log Distance 1.004438031 0.783727499 1.281616 0.201499 0.541232518 2.550109 -0.54123 2.550109 Log GDP i Log GDP) Border Common Language 567.8856325 230.9748598 -2.45865 0.014818 1023.415187 -112.356 -1023.42 -112.356 0.129453373 0.028437535 4.552201 9.33E-06 0.073368751 0.185538 0.073369 0.185538 3.878989106 1.496884913 2.591374 0.010282 0.926826617 6.831152 0.926827 6.831152 0.064989426 1.868617624 -0.03478 0.972291 3.750284675 3.620306 3.75028 3.620306 distance ij GDPI GDP; 0.000174208 0.000155002 -1.12391 0.262434 0.000479903 0.000131 -0.00048 0.000131 1.61177E-10 6.37172E-11 2.529574 0.012211 3.5514E-11 2.87E-10 3.55E-11 2.87E-10 9.47374E-14 6.58414E-14 1.438871 0.15179 -3.51154E-14 2.25E-13 -3.5E-14 2.25E-13 FTAij 0.471852523 0.55246894 0.85408 0.394109 0.617728959 1.561434 -0.61773 1.561434 + Regression Statistics Multiple R 0.580550522 R Square 0.337038909 Adjusted R Square 0.306440704 Standard Error 2.78018747 Observations 205 ANOVA df Significance F 8.0025E-14 Regression Residual Total SS MS F 9 766.2575627 85.13973 11.01499 195 1507.241262 7.729442 204 2273.498825 Standard Upper Lower Upper Coefficients Error t Stat P-value Lower 95% 95% 95.0% 95.0% 15837.90596 6447.211648 2.456551 0.014902 3122.689032 28553.12 3122.689 28553.12 Intercept Log Distance 1.004438031 0.783727499 1.281616 0.201499 0.541232518 2.550109 -0.54123 2.550109 Log GDP i Log GDP) Border Common Language 567.8856325 230.9748598 -2.45865 0.014818 1023.415187 -112.356 -1023.42 -112.356 0.129453373 0.028437535 4.552201 9.33E-06 0.073368751 0.185538 0.073369 0.185538 3.878989106 1.496884913 2.591374 0.010282 0.926826617 6.831152 0.926827 6.831152 0.064989426 1.868617624 -0.03478 0.972291 3.750284675 3.620306 3.75028 3.620306 distance ij GDPI GDP; 0.000174208 0.000155002 -1.12391 0.262434 0.000479903 0.000131 -0.00048 0.000131 1.61177E-10 6.37172E-11 2.529574 0.012211 3.5514E-11 2.87E-10 3.55E-11 2.87E-10 9.47374E-14 6.58414E-14 1.438871 0.15179 -3.51154E-14 2.25E-13 -3.5E-14 2.25E-13 FTAij 0.471852523 0.55246894 0.85408 0.394109 0.617728959 1.561434 -0.61773 1.561434