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Page Economics 340 Assignment 5 Due October 20th 1 of 2 ZOOM In this assignment, you'll study business failures in California compared to the rest of the country using survival and hazard analysis tools. California is seen by business owners as a difficult place to do business. For example, Chief Executive magazine's survey of Chief Executive Officers ranked California as the worst state to do business for 2019: https://chiefexecutive.net/2019-best-worst-states-for-business-an-overview/. Past surveys have consistently ranked California as the worst place to do business. But do businesses fail faster in this perceived environment? On Canvas, there are two datasets from the Census's Business Dynamics Statistics (https://www.census.gov/programs-surveys/bds.html), which is an annual survey ofjob, establishment, and firm creation and destruction. They will help us study the event of firms closing or "dying" as it is called in the data using survival and hazard analysis tools. We want to track the failure and survival rates of firms established in 2013. a. b. Please collect from California in the state data (state code "st" = 6) the number of firms (in "firms") and number of firm deaths (in "firmdeath_firms") for year 0 firms in 2013, year I firms in 2014, year 2 firms in 2015, year 3 firms in 2016, year 4 firms in 2017, and year 5 firms in 2018 and place them in a new spreadsheet. This will allow us to track businesses founded in 2013 through their 5 year of operation. This step (and part b) will likely be easier to do in Excel rather than R. Firm deaths are referring to the number of firms that closed between the previous and the current year of the survey (year l: number of firms that closed in their first year of operation, year 2: number of firms that closed in their second year of operation, etc.). (12 points) Hint: the format of your table should look like this (you could have an age 0 row if you want as well, but it will not be used to calculate the hazards and survival functions in later parts; the age O firms in 2013 will be the risk set for age I firms): Age Firms Failures Risk Set 1 2 3 4 5 Please do the same steps as part (a) for the nationwide business data. (12 points)