year catch effort 1962 51.0567 1963 44.3 1964 48 44.54 1965 44.826 59.9788 1966 39.208 45.3769 1967 48.278 46.6083 1968 37.819 52.2453 1969 31.992 54….

year catch effort 1962 51.0567 1963 44.3 1964 48 44.54 1965 44.826 59.9788 1966 39.208 45.3769 1967 48.278 46.6083 1968 37.819 52.2453 1969 31.992 54….

year    catch  effort
1962   51.8    50.0567
1963   44.3    44.3
1964   48       44.54
1965   44.826 59.9788
1966   39.208 45.3769
1967   48.278 46.6083
1968   37.819 52.2453
1969   31.992 54.1197
1970   29.894 35.6082
1971   39.406 61.2475
1972   34.279 54.7616
1973   27.958 46.5664
1974   36.407 28.5148
1975   27.827 27.1653
1976   33.71  38.8333
1977   32.888 22.0711
1978   35.804 31.362
1979   38.95  25.6873
1980   29.157 19.38
1981   23.748 21.7888
1982   28.333 20.1047
1983   31.945 27.1808
1984   18.434 17.9237
1985   22.531 18.9703
1986   25.587 22.3778
1987   29.777 16.8984
1988   27.906 20.1961
1989   25.757 16.4284
1990   24.503 15.5728
1991   16.608 17.144
1992   18.162 15.7857
1993   18.371 12.1206
1994   16.993 10.3118
1. Use the data to estimate a simple regression equation of the following form:
catcht  = b0  +b1effortt + et
Report your findings in either table or equation form. Does this regression satisfy CR3? Please show and explain your test for serial correlation at the 95% significance level. Present your results and explain your conclusion
2. Please specify and estimate a better regression model that you can defend, on the basis of economic theory, to explain the production of tuna as a function of effort. Explain why this functional form is better. Present and interpret your results. What is the elasticity of output with respect to effort in this new model?
3. Is serial correlation a problem with the model in (2)?  Please carefully present the results of your test for serial correlation (use the 95% significance level), present your results, and explain your findings.
4. Now re-estimate the model in (2) using the Newey-West method. Report your results and compare them with what you got in (2). What is different, and why?
5. Is there evidence that the marginal product of effort has changed over time?  How? Please show your work, explaining how you test for this and what you find.
6. Does the model in (5) exhibit serial correlation? Please test for this at the 95% level
and present your test results. Is the result different than in (3)? Please speculate on why or why not.
Please answer 2-6 specify as soon as possible . Thank you so much emergency
 
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