Econometrics group report using the computer package eviews,also estimation of OLS,misspecifacion testing and interpretation of results and procedures.

1) Economic theory suggests that consumption is positively related to income
and negatively related to unemployment, , (proxying income uncertainty) and real interest rates, , (intertemporal substitution). Each group should estimate the following four models (based upon this consumer theory) by ordinary least squares (OLS) using the sample period 1957 1994. Each individual student in the group is responsible for estimating, reporting and discussing one of these four models it is up to the group to decide which group member will be responsible for each model.

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