Essential Statistics, Regression, and Econometrics

CHAPTER 1

Data, Data, Data

Chapter Outline

1.1 Measurements

Flying Blind and Clueless

1.2 Testing Models

The Political Business Cycle

1.3 Making Predictions

Okun’s Law

1.4 Numerical and Categorical Data

1.5 Cross-Sectional Data

The Hamburger Standard

1.6 Time Series Data

Silencing Buzz Saws

1.7 Longitudinal (or Panel) Data

1.8 Index Numbers (Optional)

The Consumer Price Index

The Dow Jones Index

1.9 Deflated Data

Nominal and Real Magnitudes

The Real Cost of Mailing a Letter

Real Per Capita

Exercises

You’re right, we did it. We’re very sorry. But thanks to you, we won’t do it again.

—Ben Bernanke

The Great Depression was a global economic crisis that lasted from 1929 to 1939. Millions of people lost their jobs, their homes, and their life savings. ...