Research report on linear regression using the European Social Survey $($ESS$)$

Your task is to analyze what happened to political trust in Europe during the Great

Economic Recession. In particular, you should establish if the economic recession had

a differential impact by education. Did those with higher education change their

political trust more than those with lower education as a result of the economic

recession?

The economic recession happened in $2007.$ You will need to select two appropriate

rounds of the European Social Survey for your analysis. Once that is done, think about

what are the key variables for your research question. In doing so$,$ you may want to

think back at your lectures concerning dummy variables and interactions.

Start off simple. First select the dependent variable of your regression. Do spend time

on checking the sample you are using. For instance, are there outliers that should be

excluded? Report transparently on your data processing choices, including through the

use of graphs and other graphical aids.

Then, run a regression with the key explanatory variable that defines your research

question. You need to capture how political trust changed before and after the Great

Recession of $2007.$

Crucially, also consider how the Great Recession might have differently impacted

individuals in your sample according to their level of education.

Finally, use the power of multiple linear regression to control for the fact that the

individuals in your sample differ in important ways $($e$.$g$.$ by age, gender, the country

they live in$,$ and so on$).$ There is no restriction on which countries or groups of countries you might want to study, but you will always have to explain your choices and make appropriate inferences.

Aim to produce one or more tables that compare the results of the simple model and

the more complex ones. Describe what happens as one moves from the simple model

to the more complex ones making reference to appropriate statistics.

What are your key findings? USE STATA to solve