The McGraw-Hill Series Economics essentials of economics brue, McConnell, and Flynn Essentials of Economics

participation rate)
CLRM (
see
Classical linear regression
model)
CLT (
see
Central limit theorem)
CNLRM (
see
Classical normal linear
regression model)
C–O iterative method 
(
see
Cochran–Orcutt iterative
method)
Cobb–Douglas (C–D) production function,
10, 526
EViews
output of, 231–232
example of, 208–209
of Mexican economy, 532
properties of, 207–208
Cobweb phenomenon, 416
Cochran–Orcutt (C–O) iterative method,
446, 455–456
Coefficient of adjustment, 632
Coefficient of autocorrelation at lag 1, 420
Coefficient of autocovariance, 419
Coefficient of correlation (
R
)
,
77
Coefficient of determination (
R
2
), 73,
75–76
adjusted, 865
allocating, among regressors, 206
comparing two, 203–205
and 
F
test, 241–242
in matrix notation, 858
multiple, 196–197
in multiple regression, 201–207
testing overall significance in terms of,
242–243
two-variable regression model estimation
problem, 73–78
Coefficient of expectation, 630
Coefficient of partial determination, 215
Cofactor, 846
Cofactor matrix, 846
Cohen–Rea–Lerman study, 549–551
Coherency, data, 468
Cohort analysis, 591
Coincident regressions, 285, 286
Cointegrated time series, 762–765
Cointegrated variables, 762
Cointegrating parameter, 762
Cointegrating regression, 762
Cointegration, testing for, 763–764
Collinearity, 189, 190, 321n, 346 
(
See also
Multicollinearity)
Column vector, 838
Common logarithms, 184
Commutative property, 842
Comparison category, 281
Compatibility, 113
Composite hypothesis, 113, 831
Compound rate of growth, 164
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Subject Index
911
Computer output, 894–899
EViews,
894–896
Excel, 897–898
MINITAB, 896–897
STATA, 898, 899
Computers, 11–12
Concurrent regressions, 285, 286
Condition index, 339–340
Conditional expectation, of probability
distribution, 813–815
Conditional expectation function (CEF), 37
Conditional expected value, 35
Conditional probability density 
function, 806
Conditional variance, of probability
distribution, 813–815
Confidence band, 128
Confidence coefficient, 108, 824
Confidence interval(s), 128, 824
for 
β
1
and 
β
2
simultaneously, 111
for 
β
2
, 109–111
defined, 108
and multicollinearity, 330
for 
σ
2
, 111–112
Confidence-interval hypothesis testing,
113–115, 124, 831–836
Confidence limits, 108
Confidentiality, 27
Consistency, 96, 100, 468, 829–830
Constancy, parameter, 468
Constant coefficients model 
(
see
Pooled OLS regression model)
Constant elasticity model, 160
Constant elasticity of substitution (CES)
production, 10, 526
Constant variance of 
u
i
(assumption 4),
64–66
Constrained least squares, 873–874
Consumer Price Index (CPI), 22, 23, 29
Consumption function, 3–4, 618
Continuous joint probability density
function, 807–808
Continuous probability density 
function, 804
Continuous random variables, 803
Control category, 281
Control purposes, model used for, 9
Control variables, 9, 284
Corporate profits (CP), 738, 739
Correlation(s):
assumption of no serial, 66–67
auto- (
see
Autocorrelation)
pair-wise, 338