测量单位函数形式-外文翻译.docx

河南科技学院2014届本科毕业论文（设计）英文文献及翻译UNITS OF MEASUREMENT AND FUNCTIONAL FORM学生姓名： 所在院系： 数学科学学院所学专业： 数学与应用数学导师姓名： 完成时间： 2013年12月25日 UNITS OF MEASUREMENT AND FUNCTIONAL FORM ( V o t i n g O u t c o m e s a n d C a m p a i g n E x p e n d i t u r e s )In the voting outcome equation in (2.28), R2= 0.505. Thus, the share of campaign expenditures explains just over 50 percent of the variation in the election outcomes for this sample. This is a fairly sizable portionTwo important issues in applied economics are (1) understanding how changing theunits of measurement of the dependent and/or independent variables affects OLS estimates and (2) knowing how to incorporate popular functional forms used in economics into regression analysis. The mathematics needed for a full understanding of functional form issues is reviewed in Appendix A.The Effects of Changing Units of Measurement on OLSStatisticsIn Example 2.3, we chose to measure annual salary in thousands of dollars, and the return on equity was measured as a percent (rather than as a decimal). It is crucial to know how salary and roe are measured in this example in order to make sense of the estimates in equation (2.39). We must also know that OLS estimates change in entirely expected ways when the units of measurement of the dependent and independent variables change. In Example2.3, suppose that, rather than measuring salary in thousands of dollars, we measure it in dollars. Let salardol be salary in dollars (salardol =845,761 would be interpreted as $845,761.). Of course, salardol has a simple relationship to the salary measured in thousands of dollars: salardol ? 1,000?salary. We do not need to actually run the regression of salardol on roe to know that the estimated equation is: sala?rdol = 963,191 +18,501 roe. We obtain the intercept and slope in (2.40) simply by multiplying the intercept and theslope in (2.39) by 1,000. This gives equations (2.39) and (2.40) the same interpretation.Looking at (2.40), if roe = 0, th