topic of the project, related to macroeconomic, financial or business issues, will be of the student\'s own choice.

INSTRUCTIONS TO CANDIDATES

ANSWER ALL QUESTIONS

The topic of the project, related to macroeconomic, financial or business issues, will be of the student's own choice. For example this can be a study of relationships between different features of labor market and other areas like productivity, inflation, demography etc., or it can characterize differences between women and men in labor market. Other examples could be problems around R&D or financial series of stock markets.

Each project should contain

• Clearly stated goal or hypotheses to be verified

• Description of the data set used to verify student's hypotheses

• Choice of dependent and explanatory variables

• Initial model statement and its subsequent improvements ⚫ correlation analysis

testing model's validity using F test

• elimination of nonsignificant variables ⚫ detection of outliers

Final verification of model's assumptions ⚫ normality test of residuals

• homoscedasticity test (White's test)

• Durbint Watson errors correlation test (for time series) • Conclusions

Attachments:

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