Assignment #2
EC1204 Economic Data Collection and Analysis
Student No.
110393693

Part 1:
Question 2
From analysing the Data on the Scatter Plot the relationship between the GDP and the Population of Great Britain from 1999-2009 appears to be a moderate positive correlation relationship. Both variables are increasing at a similar rate and following a similar pattern which would indicate this relationship. This relationship would tend to be a positive one as more people are available to the work. Question 3

The correlation relationship between the GDP and the Population represents a strong positive correlation at 0.897922049. This indicates that the two indicators have a close relationship and any change in either of the indicators will be represented by a similar change in the other. This figure is close to 1 which would indicate a perfectly positive correlation relationship. This would indicate that Population was a perfect indicator for Great Britain’s GDP. Question 4

The correlation of determination indicates a variation of 80.6%. This means that 80.6% of variation in Great Britain’s GDP can be accounted to the nation’s Population variation. This is a large percentage and represents the strong relationship between Great Britain’s population and GDP. This figure indicates a proportion of the total variation in the dependent variable, population that is explained by the variation in the independent variable GDP. This figure is easier interpreted compared to the correlation relationship due to its percentage format. Question 5

The Slope of these two indicators is 77.038. This figure means that for every addition to Great Britain’s population, GDP will increase by £77.03. This Figure represents further the close relationship between Great Britain’s population and GDP. The intercept coefficient of these indicators is -3375.39. This figure indicates that if Great Britain’s population dropped to zero that the nation’s GDP would also fall to this figure....

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Content
1. Introduction 2
2. Theory, Propositions and Empirical Strategy 2
3. Results 3
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6. References 6
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