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mmcky committed Feb 21, 2024
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Expand Up @@ -506,11 +506,7 @@ This data shows a couple of interesting relationships.
1. there are a number of countries with similar GDP per capita levels but a wide range in Life Expectancy
2. there appears to be a positive relationship between GDP per capita and life expectancy. Countries with higher GDP per capita tend to have higher life expectancy outcomes
Even though OLS is solving linear equations -- one option we have is to transform the variables, such as through a log transform, and then use OLS to estimate the transformed variables
:::{tip}
ln -> ln == elasticities
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Even though OLS is solving linear equations -- one option we have is to transform the variables, such as through a log transform, and then use OLS to estimate the transformed variables.
By specifying `logx` you can plot the GDP per Capita data on a log scale
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