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BIVARIATE ANALYSIS
ASSIGNMENT-2
Submitted to:
Submitted by:
Group No.-6
Adyasha Dash
Amaresh Panda
Ankit Jain
Ayushi Gilra
Girish Kuttisankaran
Robin Karlose
Sambit Mishra
Saurabh Arora
Sumukh Savanur
Vijendra Kumar
UM14007
UM14009
UM14011
UM14017
UM14026
UM14044
UM14048
UM14051
UM14057
UM14060
Objective
1. Analyze the relation between GDP per capita and life expectancy of
a country using a cross section data set consisting of data of 180
countries.
2. Identify trends in the life expectancy of India using a time-series
data over the period 2000-2013.
A priori Reasoning
Real GDP per capita is the main indicator of the average persons standard
of living. Having a large GDP enables a country to afford better schools, a
cleaner environment, proper health care, etc. which in turn increases the
life expectancy of people in the country.
Hypothesis
Null Hypothesis: The life expectancy of a country is not directly related
to its GDP per capita.
Alternate Hypothesis: The life expectancy of a country is directly
related to its GDP per capita.
2 | Page
Data Used
1. Cross-section Data set of year 2013
Countries
Life
Expecta
ncy at
birth
(years)
Norway
81.5
Australia
82.5
Switzerland
82.6
Netherlands
81.04
United States
78.94
Germany
80.74
New Zealand
81.13
Canada
81.48
Singapore
82.32
Denmark
79.39
Ireland
80.71
Sweden
81.82
Iceland
82.09
United Kingdom
80.55
Hong Kong,
China (SAR)
Korea (Republic
of)
83.38
81.54
Japan
83.58
Israel
81.8
France
81.81
Austria
81.14
3 | Page
GDP
per
Capita
($)
65,461.
17
43,550.
08
53,671.
86
43,403.
72
53,142.
89
43,331.
70
34,825.
63
43,247.
04
78,744.
13
42,763.
76
43,304.
25
43,533.
48
39,996.
07
36,196.
72
53,202.
93
1,855.3
8
36,315.
45
32,760.
41
36,907.
27
44,149.
21
Countries
Life
Expecta
ncy at
birth
(years)
Colombia
74.04
Ecuador
76.47
Suriname
71.02
Tonga
72.67
Dominican
Republic
73.4
Maldives
77.92
Mongolia
67.5
Turkmenistan
65.45
Samoa
73.16
Palestine
73.2
Indonesia
70.83
Botswana
64.39
Egypt
71.16
Paraguay
72.26
Gabon
63.48
Bolivia
67.26
Moldova
68.9
El Salvador
72.6
Uzbekistan
68.24
Philippines
68.7
GDP
per
Capita
($)
12,370.
94
10,468.
73
16,226.
18
5,302.9
1
11,695.
78
11,653.
89
9,432.6
6
14,000.
74
5,053.7
3
15,092.
30
9,558.7
9
15,675.
23
10,468.
73
8,043.0
2
19,259.
63
6,129.5
6
4,669.2
3
7,762.2
4
5,167.0
2
6,532.5
8
Belgium
80.55
Luxembourg
80.55
Finland
80.54
Slovenia
79.59
Italy
82.39
Spain
82.1
Czech Republic
77.69
Greece
80.77
Brunei
Darussalam
78.55
Qatar
78.37
Cyprus
79.84
Estonia
74.44
Saudi Arabia
75.48
Lithuania
72.11
Poland
76.41
Slovakia
75.4
Malta
79.75
Chile
79.96
Portugal
79.94
Hungary
74.62
Bahrain
76.61
Croatia
77.05
Latvia
72.15
Uruguay
77.23
Bahamas
75.24
4 | Page
40,338.
15
90,789.
65
38,250.
66
28,298.
41
34,302.
63
32,103.
48
27,344.
27
25,650.
96
71,759.
10
131,757
.56
29,450.
09
25,048.
69
53,780.
42
25,416.
70
23,274.
80
26,114.
49
30,213.
07
21,911.
30
25,899.
53
22,877.
51
43,823.
51
20,904.
09
23,028.
05
19,589.
58
17,139.
29
South Africa
56.92
Iraq
69.42
Guyana
66.3
Viet Nam
75.94
Cape Verde
75.09
Guatemala
72.1
Kyrgyzstan
67.53
Namibia
64.48
Timor-Leste
67.54
Honduras
73.82
Morocco
70.94
Vanuatu
71.63
Nicaragua
74.84
Kiribati
68.91
Tajikistan
67.25
India
66.41
Bhutan
68.29
Cambodia
71.92
Ghana
61.13
People's
Democratic
Republic
68.31
Congo
58.79
Zambia
58.11
Bangladesh
70.66
Sao Tome
and Principe
Equatorial
Guinea
66.34
53.06
12,503.
69
15,187.
87
6,550.9
7
18,193.
92
43,247.
04
7,294.8
0
3,212.1
5
9,684.9
9
2,241.8
9
4,591.4
7
7,200.4
1
2,991.0
3
4,570.8
3
1,855.3
8
2,511.6
3
5,410.2
9
7,669.2
4
3,041.8
5
3,974.5
0
4,812.0
1
1,558.7
8
3,180.6
0
2,557.4
1
2,970.3
4
33,720.
22
Montenegro
74.82
Belarus
69.93
Romania
73.83
Libya
75.33
Oman
76.55
Russian
Federation
67.98
Bulgaria
73.55
Palau
72.41
Antigua and
Barbuda
75.95
Malaysia
75.02
Mauritius
73.61
Trinidad and
Tobago
69.86
Lebanon
80.01
Panama
77.56
Venezuela
74.63
Costa Rica
79.93
Turkey
75.26
Kazakhstan
66.54
Mexico
77.5
Seychelles
73.19
73.57
Sri Lanka
74.29
Iran
74.05
Azerbaijan
70.75
Jordan
73.85
Serbia
74.06
5 | Page
14,318.
36
17,615.
46
18,634.
80
21,397.
26
44,051.
87
24,120.
29
15,940.
54
15,092.
30
20,976.
51
23,297.
63
17,199.
95
30,438.
56
17,169.
64
19,411.
48
2,991.0
3
13,872.
46
18,975.
46
23,205.
64
16,463.
39
24,188.
65
1,451.7
5
9,735.7
4
9,558.7
9
17,139.
29
11,781.
62
12,373.
99
Nepal
68.41
Pakistan
66.57
Kenya
61.72
Swaziland
49
Angola
51.9
Rwanda
64.07
Cameroon
55.07
Nigeria
52.51
Yemen
63.11
Madagascar
64.72
Zimbabwe
59.87
Papua New
Guinea
Solomon
Islands
62.42
67.68
Comoros
60.87
Tanzania
61.53
Mauritania
61.55
Lesotho
49.45
Senegal
63.45
Uganda
59.21
Benin
59.33
Sudan
62.06
Togo
56.54
Haiti
63.1
Afghanistan
Djibouti
Cte d'Ivoire
60.95
61.8
50.72
2,244.2
5
4,698.8
9
2,264.7
0
6,683.5
0
7,538.1
9
1,451.7
5
2,711.0
4
5,601.0
4
14,292.
55
1,394.6
5
1,700.0
2
2,538.4
6
2,068.4
6
1,558.7
8
1,774.6
2
3,042.4
9
2,585.6
5
2,268.5
8
1,410.0
3
1,790.9
6
3,372.1
5
1,390.1
8
1,702.6
1
1,989.6
1
2,998.0
1
3,011.9
3
Brazil
73.94
Georgia
74.3
Grenada
72.77
Peru
74.83
Ukraine
68.53
Belize
73.88
Republic of
Macedonia
Bosnia and
Herzegovina
75.2
76.37
Armenia
74.56
Fiji
69.81
Thailand
74.4
Tunisia
75.87
China
75.33
Saint Vincent
and the
Grenadines
72.49
Algeria
71
Dominica
77.67
Albania
77.39
Jamaica
73.53
Saint Lucia
74.8
15,033.
78
7,164.5
8
11,497.
98
11,775.
37
8,787.8
3
8,441.7
7
14,390.
01
9,632.3
8
7,774.3
8
7,948.2
6
14,390.
01
11,092.
15
11,903.
60
1,451.7
5
13,304.
01
10,029.
52
10,488.
82
8,889.7
2
1,451.7
5
58.82
Ethiopia
63.64
Malawi
55.31
779.81
Liberia
60.56
877.78
Mali
55.03
GuineaBissau
54.29
Mozambique
50.25
Guinea
56.11
Burundi
54.1
6 | Page
1,641.4
3
1,242.4
5
1,045.3
8
1,255.2
3
770.62
1,634.0
2
1,195.3
8
1,926.5
2
2,080.7
4
Burkina Faso
56.34
Eritrea
62.85
Sierra Leone
45.56
Chad
51.18
Central
African
Republic
50.18
603.60
Congo
49.96
1,558.7
8
Niger
58.41
912.57
Korea
70
Marshall
Islands
72.62
South Sudan
55.26
19,259.
63
1,353.7
9
Gambia
Life Expectancy
61.45
61.97
62.32
62.67
63.02
63.37
1,855.3
8
3,710.3
5
2,330.0
1
2006
2007
2008
2009
2010
2011
2012
2013
3294
3662
3827
4129
4549
4883
5138
5410
63.72
64.07
64.42
64.78
65.13
65.96
66.21
66.4
Sources
*http://hdr.undp.org/en/content/table-1-human-development-index-and-its-components
*http://www.tradingeconomics.com/india/life-expectancy-at-birth-total-years-wb-data.html
*http://data.worldbank.org/indicator/NY.GDP.PCAP.PP.CD
Regression Results
Models
Linear
Linear Trend
R2
Equation
Y = 65.573 +0.000*X
Sig: (0.000)
(0.000)
Y=-700.138+0.381*T
Sig: (0.000)
(0.000)
0.342
0.994
Y=62.879+0.001*X+0.000*X^2
Quadratic
Cubic
Log Linear
7 | Page
Sig: (0.000)
(0.000)
(0.000)
Y=61.262+0.001*X+0.000*X^2
+0.000*X^3
Sig: (0.000) (0.000)
(0.000)
(0.000)
Y=0.073*X^1.533
Sig: (0.000)
(0.000)
0.464
0.492
0.502
Semi-Log
lnY=ln(-3.381)+0.003*T
Sig: (0.000)
0.994
(0.000)
Summary of Output
Depende
nt
Variables
Life
Constant
Expectanc (significan
y
ce level)
Linear
Log Linear
Quadratic
Cubic
Semi-log
Linear
trends
65.573
(.000)
1.533
(.000)
62.879
(.000)
61.262
(.000)
-3.381
(.000)
-700.138
(.000)
Independent Variables
B1
(significan
ce level)
B2
(significan
ce level)
B3
(significan
ce level)
R2
.000
(.000)
0.079
(.000)
.001
(.000)
.001
(.000)
.003
(.000)
.381
(.000)
0.342
0.502
-4.045E-9
(.000)
-1.348E-8
(.000)
-
0.464
5.778E-14
(.000)
-
0.492
0.994
0.994
We have used cross section data for the first 4 models, i.e., linear, log
linear, quadratic and cubic and time series data for the last two models,
i.e. Semi-Log & Linear Trend.
Cross-section Analysis: - The individual significance values for all the
co-efficients & constant in each of the models is close to zero thus it is
statistically significant. We can also see of all the first four models the R 2
value for log linear model is the highest. So, log linear model has higher
explanatory power. However, the R2 value is not so high and stands at
8 | Page
Appendix
SPSS data and SPSS output is present in below attached files:-
9 | Page
Analysis Output of
SPSS