Take Home Assignment Part-II

Attention to HRM 16-18 Batch of Applied Econometrics for HRM

Step 1:
As a part of the course and concurrent Assignment in Econometrics, extend the first
assignment (assignment-1) by including some more variables which you think have a
sound theoretical relationship. The number of independent variables should not be less
than three (more is preferable).

Step 2:
Collect the data pertaining to each variable relating to Indian context. The number of
observation for each data set should not be less than 30 observations. No two students
will select the same variables.

Step 3:
Calculate the following thing and interpret the result with sound theoretical logic.

a) Estimate a multiple linear regression model. Obtain the estimators of the

parameters, their standard errors, R2, R 2 and interpret the regression results?

b) Formulate and tests the hypothesis about the coefficients individually applying t
test and jointly together by F tests based on your theory and interpret them.

c) Formulate and Tests the normality of the residual term using Jarque-Bera Test

d) Identify a break point in your data sets and perform the Chow Test to check the
stability between the two periods (parts). May be you can perform the Chow test
for the dependent variable with one independent variable.

Please note

1. All the estimation has to be done applying Eviews software.

2. The Last date of submission is Aug 5, 2017 on or before 4:30 p.m. Submit a hard
copy to Ms Shreen Aktar, TMDC building and soft copy to me. This will not be
further extended.

3. As part of the course you need to do a concurrent assignment in Econometrics