An empirical project – Impact of venture capital on financial market development”
Section III: The Data and methodology
Describe the source(s) of the data and how each variable is measured.
Provide an exploratory data analysis. Point out any salient features of the data and describe any interesting pattern/ correlation in the data. Provide summary statistics and discuss your findings.
Specify the regression model, and discuss why such a specification is adopted, for example, why each of the explanatory variables is included, and describe their anticipated effect (either based on theory, previous empirical work, or your rationale). A formal presentation of an empirical model with full explanation of your notation is expected.
Discuss the estimation strategy you adopt, the potential econometric issues that may be relevant and how you plan to deal with them. Also discuss any estimator, tests and approaches you intend to apply to support your arguments in your analysis.
Section IV: Econometric results
Properly present the econometric estimates and evaluate the model performance in terms of goodness of fit and diagnostic tests.
Interpret the estimated coefficients, and describe whether they correspond to your expectations in light of the literature/theories
Discuss the results of other specification tests, hypothesis tests, robustness analysis (if you have conducted any) and report your findings.
Does the estimated equation support the theory on which it is based or the rationale in your mind? What explains any discrepancy between theory and empirics?
How do the results compare with existing findings? What new insights your results have added?
You should put your results in a table; here you should follow the approach used in peer reviewed research papers.
