Economics 312

Spring 2012
Econometric Project #6

Due 6am, Tuesday, April 3

Based on Hill, Griffiths, and Lim, Problems 10.3, 10.9, and 11.9

This project involves doing two analyses:

• An exploration of cross-country evidence on inflation (Problem 10.3), focused around the question of whether inflation is determined by the classical quantity-theory equation. The joint hypotheses of interest is whether an increase in money-supply growth leads one-for-one to an increase in inflation and whether an increase in real-output growth leads one-for-one to a decrease in inflation.
• An examination of the market for edible chickens (Problems 10.9 and 11.9). The goal here is to find the best estimates of the demand and supply functions for "broilers," using the variables available in the dataset.

In both cases, you are to perform a general analysis of the question posed by the problems, using the various sub-parts of HGL's problems as clues for how to proceed, but not as a script to be followed. You may want to go beyond the steps recommended by HGL, but you should begin by exploring some or all of their suggested models.

Datasets

Problem 10.3: brumm.dta brumm.def
Problem 10.9/11.9: newbroiler.dta newbroiler.def

Project Teams

Project teams for this assignment are below, with partners shown in the rows of the table.