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Show That for the Following Regression Model

Question 35

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Show that for the following regression model
Yt = Show that for the following regression model Yt = where t is a time trend,which takes on the values 1,2,…,T,β1 represents the instantaneous ( continuous compounding )growth rate.Show how this rate is related to the proportionate rate of growth,which is calculated from the relationship Yt = Y0 × (1 + g)t when time is measured in discrete intervals. where t is a time trend,which takes on the values 1,2,…,T,β1 represents the instantaneous ("continuous compounding")growth rate.Show how this rate is related to the proportionate rate of growth,which is calculated from the relationship
Yt = Y0 × (1 + g)t
when time is measured in discrete intervals.

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ln(Yt)= β0 + β1 × t + u and hence β1 = blured image ...

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