Assignment Task
Content and Structure:
The final project consists of applying econometric analyses on the given panel dataset. During the lab sessions, students will be given short exercises to practice with an airport dataset in order to become familiar with the expected level of analyses of the final project. Overall, the required analyses are as below.
Introduction
•Pre-inspect the data
•Generate needed variables from the original variables, or apply transformations required (e.g., log transformation) to build your main variables for the regression models and briefly explain the finals variables. Correlation Matrix and Descriptive Statistics
•Provide the correlation matrix and descriptive statistics of the variables.
•Apply a statistical test to see if there is any difference between some subsamples regarding a few variables and interpret the results.
Exploratory Analyses
•Inspect the data graphically, such as checking the normality, detecting the possibility of outlier observations, and plot scatter plots to pre-check the relation between the dependent and independent variables.
Regression Analyses
•Run an OLS linear regression (baseline model) for the dependent and independent variables (including the control variables) and interpret the results in detail. Students need to clearly explain the statistical significance of the independent variables’ impact and discuss the magnitude of their impact on the dependent variable (i.e., statistical significance and the effect size).
•Run a modified version of the baseline model as required and discuss the new results.
•Build a regression model to compare the effect of the given independent variable across different subsamples.
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