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Model bates log

Model bates log easily

Aug 6th, 2022

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How to model bates log

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so before watching this lecture you should know about the linear regression model and what we mean by the model being nonlinear in data and nonlinear in parameters so this lecture is about a very popular model in econometrics called the log log model sometimes its called a log linear model but the foundation of this model is the power function so if you remember the power function is a function that looks like this it has a constant multiplied by X and thats raised to another constant and lets focus on the case where X is greater than equal to 0 so that we can allow a and B to take any values that we like this is a pretty nice function because it can capture a lot of different types of behavior so for example it can be a linear function for B equal to 1 it is the linear function like this in which case a is simply the slope of this function so if this is a equal to 1 then you can also have B equal 1 and a equal to 2 for B greater than 1 it looks it has this shape so always X on thi

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