1.  Create a data set, using EXCEL, containing the above data  Put the two variable names, i.e., Y and X, on the first line of the data file.  Type in the numbers on the next 20 lines, organized into two columns.  This is organizing the file's data by observation.  Save the data into a file formatted as an MS Excel Comma Delimited File (csv) worksheet..

2.  Use the Gretl program to generate descriptive statistics, i.e., means, standard. deviations and correlation coefficients for the Y and X variables. Click here for brief instructions on how to use the Gretl program to import and analyze the data.  Note:  this data is cross-sectional data, i.e., it's measured across individuals at a point of time.

3.  Explain what the descriptive statistics mean.  Bring your Gretl results to the next class.